The SM Group’s commitment to an inclusive supply chain has fostered the growth of its partner micro, small, and medium enterprises (MSMEs), with more than 100,000 MSMEs currently supported by the conglomerate.
This community includes a growing number of Gen Z (ages 13 to 28) and Millennial (ages 29-44) entrepreneurs.
SM supports these young business owners by providing marketplaces to showcase products, offering marketing assistance, and facilitating financial access.
Nearly 70 percent of SM Supermalls’ tenants are MSMEs.
“We’ve seen a growing presence of Gen Z and Millennial entrepreneurs across our MSME programs,” said Joaquin San Agustin, executive vice president for Marketing at SM Supermalls. “These young, up-and-coming business owners have been actively joining our fairs and leasing spaces. Many are first-time entrepreneurs, creatives, or former online sellers who now see the value of connecting with customers face-to-face. SM is here to be the launchpad and marketplace of their dreams.”
Aspiring entrepreneurs often discover opportunities to become tenants through SM Supermalls’ MSME application portal or by participating in ongoing pop-up markets such as the Viyline MSME Caravan, Artisan, Souk Fair, and the Art Market.
“Working with these young entrepreneurs is always refreshing,” San Agustin added. “We’ve seen firsthand how their energy and innovation breathe new life into our malls, turning booths into mini experiences and side hustles into real businesses.”
Kultura, an SM Group retail brand, has been a dream platform for Hannah Garcia, 28, founder of Pamanna Jewelry. Her business began as a passion project, fueled by early exposure to retail and craftsmanship.
Kultura partners with 15 to 20 Gen Z and Millennial suppliers, like Garcia, who had the courage to start their own ventures.
“We choose our suppliers based on their understanding of the market and if they can develop the products we need,” said Sheila Tan, senior assistant vice president for operations at Kultura. “We also assess their willingness to grow with Kultura and if their values align with ours.”
“Entrepreneurship allowed me to celebrate Filipino craftsmanship in a way that feels both personal and impactful,” Garcia said, noting her connection with Kultura. “We both believe in quality, story-driven creations, and empowering local makers.”
According to Tan, “Gen Z and Millennial entrepreneurs offer creativity and fresh ideas. They are always updated with trends which makes product development easier.”
Stella Miranda, 25, owner and founder of Lily Jewelry, chose to grow in the jewelry industry eight years ago.
“Looking back at my experience starting out, I was pretty fearless and clear with the vision I had for Lily – to become an approachable and down-to-earth jewelry brand that produced one-of-a-kind designs,” she said.
“Young entrepreneurs have the capacity to be daring.”
When Kultura approached her last year to be part of their Filipino Design Studio event, she thought, “it was the perfect place to showcase our new designs. I’ve discovered, how through the years, Kultura has kept its core values of supporting local businesses, providing young and innovative entrepreneurs a spotlight, while offering exceptional customer service for both consumers and their partner brands.”
Miranda also noted that Kultura has helped her brand reach its “target market by providing us with sufficient space in their high-traffic stores and promoting us through their in-store events and social media platforms.”
In 2024, BDO, the banking arm of SM, saw a rise in young entrepreneurs seeking multipurpose loans.
The BDO Consumer Banking Group reported that Millennials constitute about 49 percent of BDO’s Multipurpose Loan clients, while Gen Zs account for 1 percent.
Among them is Christian Guerrero, founder of Ground-Up, a construction solutions company providing end-to-end design and build services, primarily for multinational and local businesses establishing offices in the Philippines. Guerrero’s interest in construction began in college, and he has been involved in entrepreneurship since age 24.
Through BDO’s Ready Check facility, a credit line under the Multipurpose Loan, he has been able to take on larger-scale projects and negotiate from a stronger position with clients.
“Our Ready Check facility has significantly improved our operational flexibility. It has already boosted our confidence in pursuing larger project leads,” Guerrero said.
This aligns with BDO’s view that today’s young entrepreneurs “have a lot of potential to be tomorrow’s successful economic drivers. By providing them with opportunities to thrive, we are making a valuable investment in the future of the SME industry.”
Echoing the sentiment of SM, BDO underscored that “supporting the growth of MSMEs not only fosters innovation and economic development but also ensures a robust and dynamic business landscape for years to come.”
