New research has found that family businesses in the UK are no longer being passed down to the third generation, according to the 'Second Generation Family SMEs in the UK' report compiled by Barclays and CEBR.

The report states that three in five UK adults would want to pass on a family business to the younger generation in their family if they had the opportunity, however 23% of those over 55 feared that the younger generation would not want to inherit it.

(ref: The Telegraph http://www.telegraph.co.uk/finance/festival-of-business/10913013/Family-businesses-on-the-wane.html)

An interesting article on fatal flaws when it comes to Family Business Estate Planning - its not just about the tax planning but also maximising the chances for intergenerational business success and family harmony.

This articles looks at a typical family estate plan.

(Ref: http://familybusinessinstitute.com/index.php/2005-articles/five-fatal-flaws-in-family-business-estate-planning-part-1.html)

88% of current family business owners believe the same family or families will control their business in five years, but succession statistics undermine this belief.

Only about 30% of family and businesses survive into the second generation, 12% are still viable into the third generation, and only about 3% of all family businesses operate into the fourth generation or beyond.

The statistics reveal a disconnect between the optimistic belief of today's family business owners and the reality of the massive failure of family companies to survive through the generations. Research indicates that family business failures can essentially be traced to one factor: an unfortunate lack of family business succession planning. 

(Ref: http://www.familybusinessinstitute.com)

According to a recent survey by European Family Business/KPMG where 23 European countries look into the impact tax can have on the transfer of a business to family members upon inheritance and retirements, family businesses in Ireland need to take note of and prepare for the heavy tax implications associated with the transfer of business ownership through inheritance or retirement.

The finding of this survey show that if unprepared the tax obligations can be severe.  Of the countries surveyed, Ireland ranks 4th highest in terms of the headline rate of tax due on succession through inheritance and 3rd highest in terms of the headline rate of tax due on succession on retirement. 

To get informed and better prepared, contact us for more information  This e-mail address is being protected from spambots. You need JavaScript enabled to view it  or tel: 021-4320466

Follow the link to read more ...

http://www.kpmg.com/ie/en/issuesandinsights/articlespublications/pressreleases/pages/family-business-transfers.aspx

Further to the recent news of Spain's King Juan Carlos abdicating, paving the way for his son Prince Felipe to become King and to take over the family business. It might get us thinking, when is the right time to hand over the reigns (reins)..... to the next generation. 

http://nypost.com/2014/06/08/spanish-king-abdicates-throne-to-spare-son-the-wait/

Highly recommend you take the 18 minutes to watch this.

Great wines get better with age and great works of art become more valuable with age.

I have had the honour and privilege of working with Martin Brennan for almost 25 years. In that time he has shared his wisdoms and common sense with many of our clients. He is one of our most trusted and valuable advisers. We have had some very challenging and one could say life changing experiences together. No matter how difficult or successful the matters to be dealt with are, it has always been enriching to work with him. He is a close friend.

This short video gives an insight into his wisdoms, his values and the hallmarks of coaching excellence. It is a privilege to have his talent and ability within the network. Long may it continue to be so.

Martin Brennan - Management & Business Coaching

DCU Centre for Family Business have extended an invitiation to family business owners to their inaugural conference on 'The Legacy Series - Engaging the Next Generation'.

This conference will take place on 28th May 2014 in the Helix (DCU) from 3.30-5.30pm

Please click here for more details ->> DCU Centre for Family Business conference

A great article by Lisa Evens from www.entrepreneur.com on how to manage the challenes of a family business.

For many family run and family owned businesses, having little separating the kitchen table from the board room table can be the recipe for not only family fallouts but also for business conflict

There are 4 tips to make sure your family business thrive.

1.  Play to each family member's strengths

Establish boundaries and have clearly defined roles and responsibilities can be the difference between sucess or failure in a family business.

2.  Keep personal matters out of the business

Family members will obviously have the inside track on each others personality and traits that non-family business colleagues wouldn't have making crossing the line sometimes unavoidable.  Leave your emotions and feelings at the door - in the work environment your family members are your co-workers and so should be treated as same.

3.  Be understanding of the generational divide

More often that not the differences between generations can be challenging, however remember that both the old and new ways of doing things can create a balance.

4.  Separate personal from professional time

In an ideal world, family will act as family at home and as professionals in the workplace - however most family businesses operate on both levels at all times.  Set approproate time for business to be discussed at the kitchen table 

The first workshop of the Family Business Ireland/Enterprise Ireland Collaborative Cluster took place on 23rd April in Co Laois.

This is the first in a series of 6 workshops for 12 family owned and run businesses from around the country.

It was a great start to the project, with all those present being so open and giving to the process.

European Family Business Barometer - Sustaining future growth

In summer 2013 European Family Businesses (EFB) in conjunction with KPMG launched the first European Family Business Barometer.  The barometer was created to primarily gauge the confidence levels of family business in the EU.

Some 600 responses were received from across 14 countries.  Key findings are as follows:-

44% confident about the economic situation of their family business for the next 6-12 months

43% had increased turnover in the previous 6 months

40% had increased staff numbers

92% were thinking about invesment opportunities, with 57% looking to expand market share in their own country and across the EU.

49% had no problems accessing finance

The full report can be found on www.europeanfamilybusinesses.eu