Family feuds

|Canadian HR Reporter|Last Updated: 05/14/2001

When you look at the numbers, the need for succession planning at family-run businesses assumes a great urgency.

About 70 per cent don’t survive the second generation and 90 per cent don’t make it past the third generation. The startling failure rate, it is widely held, is due in large part to a lack of succession planning.

“I think people are still reluctant to deal with it,” says Debby Stern, a partner in KPMG’s succession planning practice. “It forces them to make some difficult decisions.”