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Selling the family business: survey results

Campden FB conducted an online "selling the family business" survey to get the views of families from all over the world on this crucial topic.

A full breakdown of the results is provided below. Click here to read Jonathan Pellegrin's analysis

Where is your family business based?

Africa                  0.8%
Asia-Pacific       18.9%    
Europe               31.5%    
Middle East         6.3%
North America   33.9%    
South America     8.7%    

How long has your business been in family hands?

Up to 25 years            12.6%    
26 to 50 years             28.3%    
51 to 100 years           33.1%    
More than 100 years   26.0%    

Have you planned for the possibility of the family selling the business?

Yes           52.0%    
No            48.0%    

If yes, what form has this planning taken?

Hypothetical discussion                             71.7%    
Planning in response to a recent offer        20.0%    
Formal plan to be actioned in the future      8.3%

What is the likelihood of your family selling the business in the next 2 years?

Likely             8.9%
Possible        20.2%    
Unlikely        71.0%    

Has the current economic downturn increased or decreased the possibility of the family selling the business?

Increased         13.9%    
Decreased        13.9%    
No change       72.1%    

Have you received an approach to buy your family business in the last 12 months?

Yes            45.1%    
No             54.9%    

Which of the following would be your preferred exit option?

Liquidating the business                          7.8%
Trade sale                                              31.3%    
Sale to institution (eg, private equity)    25.2%
IPO                                                       19.1%
Management buyout                             16.5%

What would be the principal reason for selling the family business in your opinion?

No other family members willing/able to take over  33.6%
Personal liquidity issues                                              6.4%
Desire to do something new                                       9.1%
Industry consolidation                                              17.3%
Receiving an offer you can't refuse                          33.6%    

Which of following would you anticipate being the biggest drawback to a sale?

Family issues                        21.6%    
Getting the right price           31.0%    
Desire to create a legacy       15.5%    
Desire to give the next
gen more than just money   31.9%

Would you prefer to handle the sale yourself or leave it to professional advisors?

Handle it myself/within the family        39.5%    
Leave it to professional advisors           60.5%

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