European Family Business Barometer: Confidence in unity
European Family Business Barometer
The report brings insights on the confidence levels of family businesses across Europe, the challenges they face and the solutions they seek to ensure their development and sustainable growth.
The 2017 European Family Business Barometer released by the European Family Business (EFB) and KPMG revealed that 71% of business owners expressed confidence towards their business in the future. Looking back over the past year, it’s been a good period for many businesses, with the majority reporting positive results.
Addressing key challenges
With the threat of reducing open trade after Brexit becoming more and more a reality, the majority of family businesses are calling on their governments to work together to increase integration in Europe with tighter political ties. Having benefited from closer ties between European Union (EU) countries, these business owners would have greater confidence in seeing a strong, unified EU.
“The majority of the family busineses in Bulgaria and Europe, that took part of the survey, have managed to increase their revenue and remain confident about the economic prospects for the next 12 months. The positive outlook for European family businesses, however, comes with its share of critical challenges. While ‘war for talent’, profitability and competition continue to be of considerable concern, political uncertainty remains very high on the agenda of family businesses.” KPMG’s Zdravko Moskov, Director, Advisory, comments on the findings in the survey.
Several highlights emerged throughout the reports analysis, including:
- Political concern was indicated as a top concern for 30% of respondents (53% of respondents in the UK)
- The “war for talent” was identified by 43% of respondents as the most important issue they face. The availability of labor paired with the increasing cost of labor cited by 32% of respondents in putting greater pressure on family businesses
- A more integrated and unified Europe was the preference of 56% of respondents
- The need to balance family concerns and business interests was reported as important or very important to their business by 87% of respondents. This issue has grown sharply in significance each year since 2014, when 59% found it very important or important
- Preparing next generation leadership was identified as important or very important by 84% of respondents
Overall, the Barometer indicates that improved economic conditions and investing in innovation is paying off for European family business owners. If they can continue to overcome their challenges and find the right talent, their growth should translate to a bright outlook for the future.
About the Barometer
The European Family Business Barometer is based on the responses of an online survey from over 1,100 questionnaires which were received from family businesses across 26 European countries, including Bulgaria.
Download the report with a full analysis of the results and trends identified from the companies surveyed, including the respondents profiles.
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KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.