L-R:… Keynote speaker Jayesh Shah (Sumaria Group), Emmanuel Katongole (Quality Chemicals Ltd) and I&M Bank Executive Director Sam Ntulume on the panel during the conference.
On Friday, October 11, 2024, the Enjovu Family, in partnership with I&M Bank Uganda, held yet another successful Enjovu Family Business Conference at the Sheraton Kampala Hotel.
The now bi-annual gathering brought together family business leaders, advisors, and like-minded peers.
Organised under the theme- “Family Governance – Managing Conflict and Building Family Businesses to Last,” the conference focused on sharing perspectives on sustaining family businesses across generations.
A panel of seasoned family business leaders and financial experts, led the discussions, sharing transformative insights and experiences.
The Keynote speaker at the event was Mr. Jayesh Shah, the Group Managing Director of Sumaria Group, from Tanzania. He addressed the challenges facing family businesses today, highlighting lack of formal structures, inadequate succession planning, difficulties in balancing family and business interests, as well as the struggle to sustain enterprises across generations, as the major challenges facing family businesses in Africa.
“Conflicts will always be part of families, but they tend to deepen when it comes to family businesses. However, family businesses should set up a formal board of directors, which may include both family and non-family members, for better decision-making, especially during conflicts,” Shah advised, adding, “Roles must be clearly defined to ensure that family members in leadership positions are qualified and accountable.”
Mr. Emmanuel Katongole, the co-founder and Chairman of Quality Chemicals Limited, a co-founder and Executive Chairman of Cipla Quality Chemicals Limited, and founder of Vero Food Industries, was also part of the panel.
In his presentation, Katongole urged family businesses to uphold integrity, to lay a proper foundation for all generations.
“Family businesses need to maintain accurate financial records for stakeholders and the government. It’s crucial to differentiate between personal funds and obligations like taxes. Once you meet these obligations, managing your finances becomes much easier,” Katongole said.
Katongole added that choosing a bank that understands your business needs is crucial for long-term success; “a supportive banking relationship can provide resources and guidance necessary to navigate financial challenges effectively.”
I&M Bank Uganda Executive Director & Chief Operations Officer- Mr. Sam Ntulume, emphasized the rewards that come with a business partnering with a supportive financial service provider from its early days. He highlighted the importance for business owners understanding the stage when their business is fit to take financial risks, and the magnitude of the risk.
“I&M Bank started as a family business, so we understand the unique dynamics of running family enterprises, and we have made it part of our business module to provide tailored financial solutions and guidance to family businesses. Our goal is to empower families to navigate challenges and seize opportunities,” Ntulume said.
During the Fireside Chat themed “Health – The Greatest Wealth: Prioritizing Wellbeing in Family Business,” Dr. Nandawula Kanyerezi Mutema, the Managing Director of The Clinic at The Mall, emphasized that family wellness should be both physical and mental health.
“It’s about creating a positive environment, free from stress, that enables you to engage fully in all areas of life. Implementing measures that support overall well-being is essential for employees to thrive both at work and at home,” Dr. Nandawula stated.
She also tackled the issue of mental health in the places of work, stating that; “it’s a universal issue that impacts employees’ well-being across the globe.”
CSL Sim Katende, a Partner at Katende, Ssempebwa and Company Advocates (KATS), highlighted the importance of having constitutions in family businesses.
“Many times, I receive calls from business owners requesting templates for existing constitutions, but I always urge them to take the time to create customised constitutions, that will reflect their unique values and goals. A well-crafted constitution not only provides clarity and structure, but also helps to prevent conflicts and ensures that everyone respects set rules and objectives for the business to grow,” he noted.
Mr. Patrick Muta, Director of Advisory Services at PwC Uganda, emphasized the critical role of maintaining high-quality governance in family businesses.
“Effective governance is essential for the long-term success of family businesses. It creates a solid foundation that fosters trust, accountability, and transparency among family members and stakeholders, enabling them to navigate challenges more effectively,” Muta stated.
Annette Nakiyaga, the Head of Marketing and Corporate Communications at I&M Bank, highlighted the importance of the partnership with Enjovu Family Business Conference in supporting family businesses.
“It’s getting harder for family businesses to stay resilient due to the complexities of succession planning, shifting market dynamics, and managing generational transitions. By partnering with Enjovu Family Business Conference, we are offering financial guidance to help them grow and succeed. Through working together and sharing knowledge, we believe we can help family businesses overcome challenges and build lasting legacies,” Nakiyaga stated.
The event attracted diverse generations and was attended by key figures including Owekitiibwa Robert Waggwa Nsibirwa, the Second Deputy Katikkiro and Minister of Finance of Buganda Kingdom, former Finance Minister Maria Kiwanuka, as well as former Uganda Investment Authority boss cum businesswoman/consultant Dr. Maggie Kigozi, among others.
