Family-run businesses are the backbone of the U.S. economy, encompassing both small local ventures and international corporations like Ford and Walmart, employing nearly 60% of the nation's labor force and contributing $8.3 trillion to the GDP; they're also responsible for 78% of new job creation, reflecting their substantial economic impact.
Around 35% of Fortune 500 companies are family-controlled, and 86% of these businesses anticipate growth in the next two years, indicating their influential role in the economy. While only 7% of North American family firms were led by women in 2019, there's a positive trend toward more female-led businesses, with 31.3% of family businesses indicating their next successor will be female, showcasing women's increasing influence in family businesses.
To succeed, family businesses should have a clear mission statement, not create jobs for family members but hire them based on merit, treat them like any other employee, give them responsibility and authority as they prove themselves, ensure they report to non-family employees whenever possible, separate family and business matters, establish a clear business succession plan, designate a single clear successor, have a diverse board of directors, and consider selling rather than gifting the business for better accountability and value. For more information click the link!
https://www.insurancejournal.com/magazines/mag-features/2023/10/02/741764.htm