Family-Owned Businesses Show Post-Pandemic Recovery

Family-owned businesses are predicted to assist in a post-pandemic recovery, says a report by KPMG Enterprise and the STEP Project Global Consortium. “The dynamics and structure of family-owned businesses made them more resilient and responsive to the initial shock of the pandemic and enabled them to adapt and recalibrate to pursue new business opportunities,” says Mary Jo Fedy, national enterprise leader at KPMG in Canada. “The pivotal role of the family helped to safeguard both financial investments and family legacies.” In fact, 17 per cent of Canadian firms and nine per cent globally saw revenues increase frequently when taking action to pivot their business, while 30 per cent of Canadian businesses and 22 per cent globally reported no revenue change. Additionally, 42 per cent of family businesses globally were more likely to deploy a business transformation strategy than non-family firms and 76 per cent worldwide accessed government support programs for their businesses, primarily low-cost loan arrangements. The report says strategies taken by international, family businesses in to order to stabilize include business transformation, social responsibility, and exercising patience.