Did you know that

• 50% of US GNP is generated by family businesses¹
• Only 30% of family businesses survive to the 2nd generation²
• 90% of all businesses are owned or controlled by families³
• Despite the success factors of family business succession, 88% of all business owners believe that their family will control their business in 5 years⁴

There’s little doubt that family business is the backbone of our country.

But the success rate of family business succession is low. Yet despite the low success rate of transition, family business owners still believe their future family members will be the ones to run the business in the future. The facts tell us that this is more desire than reality.

What is the reason for the disconnect, and how can we work to improve the disconnect?

¹https://www.forbes.com/sites/aileron/2013/07/31/the-facts-of-family-business/#62af4f4d9884
²Id.
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⁴https://www.familybusinessinstitute.com/consulting/succession-planning/

Related posts:
The Huge Disconnect Between Succession and Legacy
The 40 Generation Family Business?

Bill High

Bill is CEO & Founder of Vyne Legacy. He works with families to equip them with tools to build multigenerational legacies, and he teaches givers and financial advisers on transformational biblical generosity. He is the co-author with David Green of Giving It All Away and Getting It All Back Again: The Way of Living Generously.

Published July 25, 2017

Topics: Family Business

Family BusinessMulti-GenerationalSuccessionTransition