ALMOST 95 percent of businesses in Iloilo are owned by families, according to a consultant.
This was disclosed by Neil Arnold C. Montesclaros, executive director and chief operating officer of Premier Family Business Consulting (PFBC).
He cited the Lopez Family as one of the most prominent clans in Iloilo and in the country.
“Around 80 percent of listed companies in the country are family-owned. But in Iloilo, it is higher like 90 to 95 percent,” Montesclaros said.
Johnny Que, one of the business moguls in Iloilo, agreed that majority of local enterprises are owned by families.
“Even our families right now, we are training the next generation,” Que told The Daily Guardian.
Que said a family running the business is more advantageous than sole proprietorship because of “continued legacy.”
“In single proprietorship, once the owner dies, the business will also suffer the same fate. But if it’s family-owned, you get help from other members and the legacy will be continued,” he said.
But Que said there is an old Chinese saying that “wealth does not pass through three generations.”
It is on the second and third generations where the family becomes bigger which could sometimes result in conflict.
Several Ilonggo families are joining the Family Enterprise Excellence Conference (FEEC) at the Marco Polo Plaza Cebu on Sept 28-29, 2018.
The event is organized by PFBC, a multidisciplinary Philippine family business consulting group affiliated with the Family Firm Institute (FFI)-USA.
International and local speakers will share stories and reveal best practices of running family enterprises in the era of millennial, women empowerment, and economic integration.
An estimated 500 delegates ranging from business owners, shareholders, and consultants are anticipated to join the conference.
“We aim to equip families in business with both global and local knowledge in achieving harmony and sustainability amid our fast-changing and challenging business environment,” PFBC founder and CEO Jonathan Ramos said.
Themed as The Knowledge of Khan (Genghis Khan): Fathoming The Myths and Truths of Family Business”, it will feature international speakers like Borja Raventos, a 16thgeneration family business shareholder of one of the oldest family businesses in Spain; Prof. Toshio Goto, one of the leading and pioneering family business consultants in Japan; Prof. Roger King from Harvard University and founder of the Center for Asian Family Business and Entrepreneurship Studies; Jeremy Cheng, a transgenerational entrepreneurship expert from Hong Kong; and Jonathan Yabut, a motivational and leadership expert in family business from the Philippines.
Iloilo Business Club executive director Lea Lara said they are still gathering the data as to the number of Ilonggo clans that will join.
Lara said the conference is a good venue to highlight the importance of generational transition in family enterprises.
“This is an opportunity for Ilonggo businessmen to take a look at models and hear templates on how they can also make their businesses survive in the next century,” Lara said.