According to the Organization for Economic Co-operation and Development (OECD) Organization, Small and medium enterprises (SMEs) generate up to 45% of total employment and about a third of the gross domestic product (GDP) in emerging markets. SMEs share distinctive challenges that require specific governance and sustainability practices. However, available resources mostly focus on large and publicly traded companies. IFC has developed a corporate governance approach with structures, policies, and practices tailored to SMEs to support their sustainable growth while recognizing their resource constraints.
IFC provides governance training and advisory services for founders and owners of SMEs. IFC’s approach starts with analyzing stages of SME growth from startup to maturity and identifying the opportunities and challenges associated with each stage. The SME governance tools and training materials help entrepreneurs identify their stage of development, analyze stage-specific governance gaps in their companies and find practical solutions that will benefit their business and promote its sustainable growth.
Sustainability of Midsize Growth Companies (MGCs)
MGCs are firms at the upper end of the SME segment, experiencing or with high-growth potential. IFC has designed a program specifically tailored to the challenges accompanying rapid growth, providing tools, advice and training to help understand, prepare for, and respond to the economic, environmental, and social sustainability challenges.