According to research by Credit Suisse, the global banking and finance group, family-owned businesses have outperformed non-family owned rivals since 2006.
Its findings indicate that family-owned businesses owe much of their success to long-term planning, rather than a focus on short-term profit generation.
Credit Suisse, which has tracked the performance of family-owned businesses for nearly two decades, also reports that family firms are generally more resilient to external events.
It says they tend to place more emphasis on environmental and social imperatives too, with Eugène Klerk, Head of Global ESG Research Product at Credit Suisse, noting that family run businesses relied less on government employment support to furlough their workforce during the Covid-19 pandemic, suggesting that this implicitly reflects their own social responsibilities.
The Institute for Family Business (IFB) says that family-run businesses account for more than 86% of all private sector firms in the UK and estimates that they are responsible for over half of all jobs.
In its latest State of the Nation report, the IFB also says family businesses contribute around a third of the UK’s Gross Domestic Product (GDP) and are more likely to employ female leaders.
CKS Catering of Blackpool, which is sponsoring the Family Business of the Year category in the Be Inspired Business Awards, the BIBAs, points to examples such as Booths Supermarkets, Bowker Group, and hygiene chemicals manufacturer Evans Vanodine as proof that this trend is evident here in Lancashire.
“Lancashire has more than its fair share of successful, family run businesses”, said Dawn Cheetham. “Many of them have been trading for over a hundred years, steered by generation after generation of the same family, and you can see how they’ve become woven into the fabric of society here.
“They stand out because they tend to exhibit a purpose beyond profit. It’s evident in their commitment to local sourcing, and how they look after employees.
“The very nature of family is to care for and support one another, and I think it’s this that makes family run businesses so resilient and willing to take the long view, building a legacy as they go.
CKS Catering was launched in 1977 and offers a complete service to professional caterers, including everything from kitchen design to installation and maintenance, and has one of the largest selections of equipment and utensils in the North West. The company was founded in 1977 by Hugh Chatterton and is run by the second generation of the family who still believe in providing a quality service at an affordable price.
“I’m looking forward to judging entrants in the Family Business of the Year category in this year’s BIBAs, and eager to see how family firms of all sizes have been able to turn their close-knit ties into a commercial advantage,” said Dawn.
The deadline for BIBAs entries is fast approaching, with the competition accepting applications until 5pm on Friday 8th April. For more information, visit www.thebibas.co.uk/enter