The Profile of Informal Entrepreneurs

in Iligan City

Prepared by

JULIUS S. HAGANAS
MARIA CORAZON L. ARAY

Interviewer

Julius S. Haganas
Doreen L. Julia
Maria Corazon L. Aray
Dina S. Mabanog
Mila N. Mahinay
Sally P. Areola

Conducted by

The Starter Center of Informal Enterprises

Under Unlad Kabuhayan Program Laban sa Kahirapan
in cooperation with the Department of Labor and Employment

Thru

The Cooperative Development and Livelihood Office

Headed by

ROY L. OPENIANO

Submitted for

City Mayor’s Office (CMO)

City Planning and Development Office (CPDO)
Department of Labor and Employment (DOLE)
Cooperative Development and Livelihood Office (CDLO)
Capacity Building International (InWEnt), Germany
Regionomica, Germany

November 10, 2008

 Table of Contents

Table of Contents 2

I. Introduction 3

II. Objectives 3

III. Methodology 4

V. Scope and Limitations 4

VI. Results and Findings 4-9

VII. Conclusions and Recommendations 10

VIII. Annex

-------------------------------------------------------------------------------------------------------------------------------------- 2
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 The Profile of Informal Entrepreneurs
in Iligan City

I. Introduction/Background:
The project entitled “The Starter Center of Informal Enterprises” was proposed to
establish in Iligan City to provide services for the development and integration of
enterprises from the informal sector into the formal economy.

At the national level, the Department of Labor and Employment has developed the Unlad
Kabuhayan Program laban sa Kahirapan (A Livelihood Development Program against
poverty) which beneficiaries are the enterprises or entrepreneurs under the informal
sector. It is intended to bring about improved socio-economic well-being of the workers in the
informal sector, termed as IS Worktreps (Informal Sector Worker-Entrepreneurs), who constitute
about half of the poor. It aims to make the livelihood of the poor IS-Worker entrepreneurs grow
into a viable and sustainable business.

With this similarity of program interventions and program beneficiaries, the City
Government of Iligan and the Department of Labor and Employment (DOLE) have
entered into a Memorandum of Agreement to synergize the effort of implementation for
the informal enterprises.

Now, the Starter Center has already been established vis-à-vis the implementation of the
Unlad Kabuhayan Program Laban sa Kahirapan. It engages the following services and
activities, namely: 1) profiling (personal, business and competence profile); 2) training;
3) competent consulting or business advisory; 4) social protection; 5) networking; and 6)
facilitation of registration.

This profile is a remarkable accomplishment of the Starter Center and the Unlad
Kabuhayan Program.

II. Objectives
The objectives of the profiling are:
1. To know the characteristics and profile of informal enterprises in Iligan City in terms
of:
a. educational level;
b. per capita income;
c. years of residency;
d. location;
e. occupations;
f. years in business;
g. availability of recording system;
h. social protection coverage;
i. number of employees;
j. gender;
k. civil status;
l. type of assistance needed;
m. membership to organization.
2. To create a database and a directory of informal enterprises in Iligan City;
3. To identify the specific condition of informal enterprises and their respective needs;
-------------------------------------------------------------------------------------------------------------------------------------- 3
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
III. Methodology
The profiling was conducted using the questionnaire and interviews. The Questionnaire
(see Annex A) is consist of 19 questions in local dialect. It is used simultaneously with
the interview. The respondents’ answers to the interview have been recorded in this
questionnaire form by the interviewer.

The schedule of profiling was done in coordination with the barangay council through its
chairperson on the committee of livelihood.

IV. Scope and Limitations

The profiling was conducted only along the coastal barangays (villages) from April to
August 2008. This is limited to 582 respondents who have been interviewed during that
period.

V. Results and Findings

A. Results Educational level

1. Educational Level:
Vocational

o Elementary - 17% 3% 0%
Elementary
17%

o High School - 54% College

26%

o College - 26%
o Vocational - 3%

High School
54%

2. Per Capita Income:

o Php 0 – 2,000 - 83% Per Capita Income

o Php 2,001 – above - 27% 0 - 250

7%

2001- above
27%

251 - 750
26%

1,551 - 2,000
9%

751 - 1,080
1,081 - 1,550 15%
16%

Years of Residency

3. Years of Residency: 0-5

25%

o 0 – 5 years - 25%
o 6 – above - 75%

6 - above
75%

-------------------------------------------------------------------------------------------------------------------------------------- 4
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 4. Location

Barangay

Tipanoy 1
Villaverde 2
Luinab 1
Tambacan 41
Poblacion 7
Upper Hinaplanon 19
Mahayahay 10
Bagong Silang 162
Ubaldo Laya 24
Pala-o 2
Tubod 11
Buru-un 3
Dalipuga 51
Proper Hinaplanon 37
Saray 52
Ma. Cristina 47
Tomas Cabili 36
Santiago 29
Tibanga 47

0 20 40 60 80 100 120 140 160 180

5. Occupation
Sari-Sari Store Owner – 18%
Driver - 5%
Occupation
Fish Vendor - 14%
Repairmen - 3%
Driver (Trisicad & Rig )
Ice Cream Vendor - 4% Non-Food
8% 5%

Firewood Vendor - 4% Fish Vendor

14%

Food - 36%
Non-Food - 8%
Scrapper - 8%
Food
36%
Sari-Sari Store
18%

Repairmen
Ice Cream3%
Vendor
Scrapper Firewood Vendor 4%
8% 4%

-------------------------------------------------------------------------------------------------------------------------------------- 5
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 6. Years in Business
0 – 5 years - 32% Number of Years in Business

6 – above - 68%
0%

0-5
32%

6 - above
68%

7. Availability of Records Available Records

Have - 26%
None - 74%

Have
26%

None
74%

8. SSS Coverage
SSS Coverage
Have - 14%
None - 86%
Have
14%

None
86%

-------------------------------------------------------------------------------------------------------------------------------------- 6
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 9. Philhealth Coverage
Have - 46%
None - 54% Philhealth Coverage

Have
46%

None
54%

10. Number of employees

Have - 0%
Number of Employees
None - 100%

Have
0%

None
100%

-------------------------------------------------------------------------------------------------------------------------------------- 7
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 11. Assistance Needed
Technical/Training - 6%
Financial - 70%
Training - 24% Assistance Needed

Technical/Training
6%

Material
24%

Financial
70%

12. Gender
Female- 74%
Male - 26% Gender

Male
26%

Female
74%

-------------------------------------------------------------------------------------------------------------------------------------- 8
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 13. Civil Status
Single - 10% Status
Married - 79%
Separated - 2%
Widow Single
Widow - 9% Separated
9% 10%
2%

Married
79%

14. Membership to Organization

With membership - 26%
With no membership - 74%

Membership to Organization

None 430
SATRA 1
Hillside Association 1
IKABUHI Plan 1
KASAKIT 1
Landless 1
Nickel Lending 1
Fish Vendor Association 10
Senior Citizen 2
Dalipuga Town Site Home Owner's Ass. 2
FICUVA 2
Sea-K Association 1
Techton 1
Bagsakan (Metro Iligan Vendors Association 1
IDEAL 1
Unlad Brgy.Saray Livelihood Association 31
CLP 1
HIPABAMA 1
Tuburan Associaton 1
Central Agricultural Rural Bank 1
The Farm Sea Association 1
TAHIDLA 1
Bayu Prime Movers Women's 2
BSAN 1
BABASIHAI 1
ELWOBAMA Coop 1
AIM COOP 1
Talamnon sa Pailig 1
FICCO 2
MSU-IIT Coop 8
Serviamus 20
Coop's for Christ 7
Women's 45

0 50 100 150 200 250 300 350 400 450 500

-------------------------------------------------------------------------------------------------------------------------------------- 9
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 B. Findings
Based on the results, it was found out that:
o 71% of the respondents have not reached college;
o 54% do not have Philhealth coverage;
o 68% are in their business for more than 5 years;
o 74% are female;
o 73% have per capita income per month of Php 2,000 and below;
o 74% do not have recording system;
o 70% need financial assistance;
o 79% are married;
o 86% do not have SSS coverage;
o 75% have resided more than 5 years in their community;
o 74% do not have membership to any organization;
o 100% do not have employees;

VI. Conclusions and Recommendations

A. Conclusion:
The majority of entrepreneurs in the informal sector in Iligan City are:
o Women;
o Married;
o Those who do not attend college;
o Those who do not have social protection;
o Those who are already 5 years in business;
o Those who have a per capita income below Php 2,000.00;
o Those who do not have recording system;
o Those who have resided more than 5 years in the community;
o Those whose need is financial assistance;
o Those who do not have membership to an organization.
o Those who do not employ other people.

B. Recommendation
o Continue the capability building interventions to the informal entrepreneurs to
improve business management and recording system;
o Allocate funds to address the lack of social protection.
o Encourage big cooperatives to cater this particular sector.
o Legislation is needed to pave the way of formalization and to institute developmental
support.

-------------------------------------------------------------------------------------------------------------------------------------- 10
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office
 Annex A
INFORMAL ENTERPRISES PROFILING
INTERVIEW QUESTIONNAIRE

Pasiuna: Ang Pangagamhanan sa Iligan nagpahigayon ani nga survey/pagsusi para mahibal-an ang kahimtang sa
mga lumulupyo sa Ciudad nga nag negosyo og kinaugalingon, para makita sa Gobyerno ang problema ug mahibal-
an kung sa unsang paagi makatabang ang Pangagamhanan para molambo ang mga gagmay’ng negosyante.
Makasalig mo nga ang inyong mga tubag sa among mga pangutana, paga-ampingan namo ug dili namo gamiton
para makadaut sa inyo.

I. PERSONAL NGA IMPORMASYON:

Ngalan: ___________________________________Edad:__________ Pagkatawo (babae o lalake) ____
Petsa sa natawhan: ________________ Lugar nga natawhan: ____________________Estado _________
Trabaho: ____________________________Binulang kita:___________________Educ.: ______________
Address: ____________________________________Tuig sa pagpuyo (Years of residency): ___________
Ngalan sa bana/asawa: _______________________Trabaho:_______________Binulang kita: P_______
Pila ka Anak:________________Edad sa mga Anak:__________________________________________

II. PANGINABUHI-AN NGA IMPORMASYON:

1. Klase sa negosyo: ___________________________________________________
Other information:
2. Kanus-a nagsugod?_______________________
Pila ang kapital sa pagsugod: ________________________
3. Kinaugalingon ba ang kapital nga gigamit? ___ Oo ____Dili
kung dili, asa gikan ang puhunan?________________________________________
4. Kung hinulman, nabayaran na ba? _______________________________________
5. Sa pagkakaron, pila na ang puhunan sa negosyo? ____________________________
6. Pila ang igo-igo (average) nga kita kada bulan? _____________________________
7. Unsay hinungdan nga kini ang matang sa negosyo nga imong gipili?________
_______________________________________________________________
8. Naa ba’y mga negosyo nga susama niini sa duol?________Daghan ba? __________
9. Unsa ang pinakadaku nga tinuig na gastuhanan ang inyong gipangandaman na may
kalambigitan sa inyong negosyo? ________________________________________
10. Giunsa nimo pagkahibalo kung pila ang matag bulan nga kita sa inyong
negosyo?____________________________________________________________
11. May lista ba mo sa binulan na gasto ug kita sa inyong negosyo? ________________
12. Unsa ang imong plano ugma damlag para sa kalambuan sa imong negosyo?
___________________________________________________________________
13. Kung mahatagan ug higayon, unsa nga matang sa negosyo ang imong gusto sudlan?
_____________________________________ Ngano man? ___________________
14. Unsa ang nahimong babag mao nga dili kato nga matang sa negosyo ang imong
gipatigayon? ________________________________________________________
15. Sa imong panglantaw, sa unsang paagi makatabang ang Gobyerno sa mga
gagmay’ng negosyante? _______________________________________________
16. Sa pagkakaron, naa ba kay mga empleyado? ___ Oo ____Wala
Kung Oo, pila ka book? _____ Ug unsa nga mga benepisyo ang imong gihatag? ____
____________________________________________________________________
17. Sa imong kaugalingon, naa ba kay mga benepisyo sama sa SSS, Philhealth ug uban
pa? SSS? naa____ wala ____ Philhealth? naa____ wala ____
18. Membro ka ba sa mga Asosasyon o Kooperatiba? ___ Oo ____Wala
Kung Oo, Unsay ngalan sa organisasyon? __________________________________
19. Unsay assistance gikan sa Gobyerno nga imong nadawat kaniadto? ___________________

Komentaryo:__________________________________________________________________________________
______________________________________________________________________________________

Sugyot: ______________________________________________________________________________________
______________________________________________________________________________________

Ngalan ug Pirma sa Negosyante: ________________________ Petsa: _________________

Barangay: ______________________ Tigpangutana (Interviewer): ________________

-------------------------------------------------------------------------------------------------------------------------------------- 11
Profile of Informal Entrepreneurs in Iligan City Conducted by the Starter Center of Informal Enterprise
Cooperative Development and Livelihood Office