Family firms ‘becoming a rare breed’

LESS than 20% of businesses owners will hand control to younger family members when they retire, according to a survey.

And more than 40% of 600 businesses surveyed by accountants Haines Watts are  fear they will never extract capital or monetise their investment.

David Fort, North West-based partner at the firm says the findinngs of its Business Owner survey highlight the need for good planning.

“Despite economic circumstances, there’s value to be maximised and money to be made provided a business owner has a plan – and I believe there’s a lot of businesses in the North West who are perhaps sitting on more value than they realise.”

With just 16% of businesses being passed through a family, Mr Fort says: “The traditional family firm is going to become a very rare beast.”