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Canadian Family Businesses Outpacing Global Counterparts - PwC
Wendy Connett
8 February 2011
Canadian
family businesses came through the economic downturn better than their global
counterparts, according to a survey by
PricewaterhouseCoopers. Reflecting
on the last 12 months, 66 per cent of respondents said they experienced modest
to significant growth in demand for their products/services compared to 45 per
cent of their counterparts in other mature global markets. Only 5 per cent of Canadian companies
said they experienced a significant decrease compared to 15 per cent in other
mature global markets. Sixty-six
per cent of Canada's family businesses are aiming for growth and expansion in
the next 12 months, compared to a higher confidence level of 74 per cent in the
2007. PwC
found, however, that only 54 per cent of respondents have a formal strategic
plan. When
respondents were asked if they anticipate any change in ownership, 27 per cent
said yes, within the next five years.
About half (51 per cent) have chosen the next business leader. At the
same time, 78 per cent believe they have provisions to deal with both business
and family issues in the event of the untimely death of key managers or
shareholders.