Family businesses in numbers

Key ownership and decision-making data in family businesses

  • 61,7% of family businesses are now in the first-generation succession phase
  • 70% of Czech family businesses have no succession plan
  • In 87,8% of family businesses, decision making is fully within the competence of the original founder
  • In the world, the accepted 30/13/3 ratio usually works, which means approximately 30% of family businesses reach the second generation, 13% reach the third generation and around 3% reach the fourth generation
  • 63,3% of family businesses are still owned by the first generation
  • It is easier for young people to work in a traditional job rather than to continue the family business
  • It is only in 16% of cases that the company is already managed (and often owned) independently by the second generation
  • Only 18.1% of the members of the boards of directors of family businesses are not family members
  • Only 13.6% of supervisory board members of family businesses are not family members
  • 94.8% of family businesses use informal family meetings to address corporate issues
  • In 87.8% of family businesses, decision making is fully within the competence of the original founder (father/mother); in 8% of cases the competences are transferred to the second or third generation, in 4.1% they are transferred to non-family managers
  • 95% of family businesses in Germany have established a procedure for solving problems and conflicts in a family business

Key statistical data of Czech and European family businesses

  • Family businesses make up more than 60% of all of the small and large companies in Europe
  • Of the 500 largest family businesses globally, 243 of those are located in Europe
  • 70-90% of world GDP per year is created by family-owned businesses
  • European family businesses exist for 88.3 years on average
  • 90% of companies in Germany are family-owned businesses
  • Family businesses represent more than 60% of all the small and large companies in Europe and provide working opportunities for 40 to 50% of all employees
  • 50-80% of job opportunities in most countries around the world are created by family-owned businesses
  • Of the world’s 500 largest family businesses, 243 of those are located in Europe, with these 243 enterprises generating 13.2% of European GDP and employing more than 8.9 million people
  • 53% of the businessmen approached are planning to hand over the business to their children
  • 48.5% of family-owned businesses are managed by the first generation, 33.7% both the first and second generations together and 15.8% are already managed independently by the second generation
  • The importance of family members gaining experience in another non-related company is confirmed by 68% of the respondents
  • 58% of the family owners are willing to sell the business outside the family

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