IIC completes corporate governance program for Colombian family businesses

09/10/2012

3-year FINPYME Family Business program for SMEs comes to an end as IIC and Bancóldex hold follow-up trainings in Medellín and Cali

Medellín and Cali, Colombia, September 6, 2012 — The Inter-American Investment Corporation (IIC) and local bank Bancóldex have completed a 3-year program designed to promote good corporate governance practices among family-owned Colombian small and medium-sized enterprises (SMEs).

A total of 90 SMEs participated in workshops from 2009 to 2011, and the latest follow-up sessions held in Medellín and Cali gathered close to 60 of them in an effort to provide key insights into executive succession planning. Previous topics covered by the series included strategies for conflict resolution, family business finance, and the role of women in family-owned SMEs. The workshops were conducted by experts from Colombia’s INALDE Management and Business School.

The series is part of the IIC´s FINPYME Family Business program, launched in Colombia in 2009. FINPYME Family Business helps family-owned SMEs develop responsible business ownership, prepare for succession, and nurture an entrepreneurial spirit.

According to Roberto Prieto Uribe, the IIC’s alternate executive director for Chile and Colombia, “Colombian SMEs are a driving force for growth in the country’s economy. The IIC not only provides SMEs with financing, but also offers the technical assistance they need so ensure sustainable growth.”

“Family businesses play a key economic role in Colombia, not only in terms of generating value, but also jobs,” noted Jorge Roldán, chief of the IIC’s Technical Assistance and Strategic Partnerships Division. “And since most family businesses do not survive the transition to the second or third generation, the IIC is committed to supporting them with the tools they need to improve their corporate governance.”

Santiago Rojas Arroyo, president of Bancóldex, added “Our partnership with the IIC in the area of corporate governance, among others, has made it possible for a significant number of Colombian businesses to implement good governance practices. This partnership has been instrumental in ensuring the growth and sustainability of these businesses over time.”

Bancóldex is a Colombian development bank that targets trade and business development for micro, small, and medium-sized enterprises. The bank offers products and services that address market gaps or failures in terms of meeting the financial and nonfinancial needs of Colombia’s companies.

FINPYME Family Business has activities in Costa Rica, Honduras, El Salvador, Jamaica, Panama, Guatemala, Haiti and Trinidad and Tobago. After completion of the program in Colombia, a new series of training modules in El Salvador and Guatemala are planned for later in the year.

The closing workshops held in Cali and Medellín received financial support from the $40 million Korea-IIC SME Development Trust Fund.

About the IIC

The IIC, a member of the Inter-American Development Bank (IDB) Group, promotes private-sector development in Latin America and the Caribbean with a focus on small and medium-sized enterprises (SMEs). We help companies streamline management processes and provide them with financing in the form of equity investments, loans, and guarantees. In 2011, the IIC reached the symbolic one-billion-dollar mark in disbursements of own and third-party funds. Throughout our history, we have benefited more than 1.6 million SMEs in Latin America and the Caribbean. For more information on the IIC, visit www.iic.org.

Contact: Jorge Roldán

Telephone: +1 (202) 623-3948

Email: jorgero@iadb.org