Business Owners Fear The Next Generation Is Not Ready

A majority (51 per cent) of business owners worry that the next generation is not ready to take over the family business, says a report by the Family Enterprise Foundation. However, more than 60 per cent of family enterprises expect to be handed off within the next decade and close to 40 per cent of transitions are expected to occur within seven years. An additional worry, 39 per cent say they fear the next generation of family members is not interested in taking over. Furthermore, 22 per cent of business owners worry about the impact on family dynamics, 17 per cent are concerned about the willingness of the senior generation to let go, and 15 per cent are also concerned about issues weighing on the transition decision. As well, 52 per cent say they expect to transition the business to family, while a third (36 per cent) plan to transfer it out of the family.