Running a family business has challenges that include head and heart issues which aren’t typically present in other businesses. However, the proverb about shirtsleeves to shirtsleeves – that family enterprises often fail by the third generation – does not need to be a reality for these families. Family enterprises can improve their chances of achieving intergenerational continuity by building their knowledge and skills – and by working with advisors who understand their unique needs and goals.
These families may need guidance on strategic succession plans, assistance with generational transitions, educational programs, tactics to improve communications, and support from peer advisory groups. If your goal is to become the trusted advisor of choice for these clients, you too can benefit from educational programs and a trusted community of like-minded peers to help you build your expertise in this area.
Family enterprises are critical to Canada’s economic and social well-being. There are 880,000¹ family enterprises in Canada employing 6 million² people and they account for a 60% contribution to Canada’s GDP³. Thirty-five percent of Fortune 500 companies are family controlled4. Those are big numbers! Now there is a new organization addressing the special needs of this important group: the Family Enterprise Xchange.
To learn more about how a unique blend of shared wisdom and experience can help both family enterprises and their advisors succeed and flourish, visit the Family Enterprise Xchange (FEX) website. Explore how FEX can help you differentiate yourself with the Family Enterprise Advisor (FEA) designation and how you can be part of the family enterprise community.
In addition, reach out to your family enterprise clients by sharing the article below to introduce them to this new organization in Canada.
¹ CAFE estimate based on 80% of Employer Businesses in Statistics Canada, Business Register, December 2012
² Deloitte study “Are Canadian Family Businesses an Endangered Species”, 1999
³ PWC publication “Securing the Future: Family Business Survey 2014”
4 Astrachan and Shanker, “Family Business Contribution to the US Economy”, 2003