…As experts say 70% of family-owned provides 60% of jobs globally

By Juliet Umeh

Stakeholders in business have called on the federal government, FG, to develop policies that will support family businesses to grow beyond the founders.

The call was made in Lagos, at a one-day summit organized by an organisation, My Family, My Business in collaboration with Businessday newspaper stated that 70 percent of businesses in the developed clime are family-owned and they provide 60 percent of jobs for the people.

They noted that given the fact that Nigeria is largely import dependent which has caused a lot of rise in the cost of things thereby pushing inflation, the support to business will open job opportunities to teaming Nigeria youths.

The Convener of the conference, Ogenevwoke Ighure, said: “Globally, 70 percent of the biggest companies in the world are actually family-owned businesses and they actually provide 60 percent of employment around the world.

“That tells me that any serious government needs to be able to support family-owned businesses. Which is why today, we had speakers from the Nigerian Economic Council, the Special Advisor to the President on Ease of Doing Business.

“We want the government to begin to look at coming up with policies that support family-owned businesses.”

Also, Partner at PriceWaterhouseCoopers, PWC, Esiri Agbeyi, said: “The more important thing is family businesses being the mainstay of the economy. Sometimes, it feels like one is pushing too hard, but I think these are tactics that have worked in other countries.”

Co-Chief Executive of the HyperCapital Group, a capital markets focused business, Mr. Anthony Shirey advised: “Founders of family businesses need to plan properly, get the right advice, and be flexible in their approach to creating and preserving their assets.

“The business that has created wealth for you at the onset, at some point in time, you will need to diversify so that when adverse conditions come, you are well prepared.”

Similarly, Group Executive, Private Banking and Wealth Management at First Bank of Nigeria, Mr. Idowu Thompson advised that founders should, “ensure that the next generation gets involved early enough, which is also related to the scope of apprenticeship. Let them get involved, but don’t let them get involved necessarily at the top. If possible, let them even get experiences outside of the core business of the family.

The other form of teaching could come through exposure or structured exposure which could be short courses, bookkeeping, or even the very basics.

“Lastly is the moral guidance for them to be able to understand the place of money. They should be made to realize that they are custodians for the future,” Thompson submitted.