Things You Need to Know for a Successful Family Business

66% FAMILYO eBUSINESSES of SMES in the UK of tax per year 30% 40% eero of private sector turnover of private sector employment they account for: £k GROJIH & THe FUTURE JAMILY BUSINESSES YS THE FTSE 100 59% South West businesses are family run Family Businesses FTSE 100 looking 50% to grow 18n 15% looking to raise finance 76% applying for external finance are successful Employees Employees of finance comes 86% from banks 56% are using this finance for working capital Turnover Turnover HØW ARB-THEY STRUCTURED? NHAT IS STOPPING GROLITH? 66% Sole Traders 87% said the economy 10% Partnerships 16.6% said regulation 24% Incorporated Companies 48% said taxation WHICH SECTORS ARE FAMILY OWNED? of agriculture 89% and extraction 85% of hotels and % restaurants What makes a successful FAM BUSINESS Business owners said 47% 26% 15% Willing to recruit outsiders if necessary Clear Restrict succession plans ownership to family SUCCesSIon PLANNING - THe GENERATION GAME 77% of family firms are controlled by the first generation 10% are controlled by the second generation Only 12% of family businesses survive into the third generation HITHP Just 3% into the fourth 50% 172000 48% family businesses leave a generation's control each year Owners unsure Owners yet tO what to do with identify their their business successor PROTECTING THE FUTURE- WILLS & INHERITANCE 30% 53r, Given to the Increase in of people have a will treasury by people dying without a will in 2012 inheritance tax collected in 2011-12 70% 63% of people agreed that Business Property Relief helped to reduce their exposure to inheritance tax of people felt that Business Property Relief encouraged them to invest in their business PRE KeeP IT ING THE FAMILYO JUPS THe CELEBRITY PRE-NUP 56: sh Men Women No Pre-nup: Paul McCartney pre-nups? consider a pre-nuptial and Heather Mills With Pre-nup: Britney Spears and Kevin Federline Who is People yet to be married who would considering agreement Devon and Cornwall's number one ranked family law team Stephens Scown solicitors work with a number of family owned businesses and can help produce a robust plan to preserve the wealth and wellbeing of the family and safeguard the family business for future generations. To find out more visit www.stephens-scown.co.uk or to request a copy of the brochure Planning for a Brighter Future email [email protected]. www.stephens-scown.co.uk Stephens Scown Solicitors References: The Family Business Institute - The UK Family Business Sector: Working to grow the UK economy 2011 PwC Survey - Family values: Delivering long-term growth 2011 Barclays Wealth Insights - Volume 8: Family Business: In Safe Hands? http://www.prnewswire.co.uk/news-releases/half-of-brits-want-a-prenuptial-agreement-whilst-no-cheating-tops-wish-list-of-marriage-clauses-154157115.html http://www.bbc.co.uk/news/magazine-15368029 http://www.cmc-partners.co.uk/home/2011/7/21/family-business-succession-beat-the-statistics.html