Family owned and controlled businesses, which account for 90 percent of all U.S. companies, rarely outlive their founders to survive the next generation. Only one in three defies the odds, but that requires a well-thought-out transition plan and, in some cases, even a non-family member to step in and lead, according to a new white paper by the University of Virginia Darden School of Business, U.S. Trust, Bank of America Private Wealth Management.
All growing businesses face challenges as they build from their entrepreneurial beginnings — whether they are global conglomerates or successful local companies. Family business owners who wish to retain control through the generations face a distinct set of challenges and opportunities. The paper drills into the issues of intergenerational transfer and offers insights into what family business owners should consider as they work to create sustainable businesses and plan for the future. A series of original case studies also demonstrates hardwon lessons learned from family-owned businesses – hear their stories through interviews conducted by Darden faculty member Greg Fairchild.