The Economic Impact of Closely Held Businesses

Eighty to ninety percent of all enterprises in the United States are family or closely held businesses and they provide employment to approximately sixty-two percent of the country.

Overall, family and closely held business leaders are optimistic about the long-term viability of their companies. However, the latest American Family Business Survey indicated that leadership in 39 percent of these family-owned businesses is expected to change hands over the next five years. Despite this predicted upheaval, the same study revealed that 19 percent of family business participants have not completed any estate planning other than writing a will and only 37 percent have written a strategic plan (Raymond Institute and Mass Mutual, 2003).

While the owners of many closely held companies prefer to “go it alone,” many others are seeking a community where they can get practical advice, learn of new planning techniques, practice new management skills, share best practices, as well as give or receive peer-to-peer
mentoring.

The overwhelming majority of enterprises in the United States are closely held and familyowned businesses. Research reveals that many of these firms, which range from "Mom and Pop" storefronts to Fortune 500 companies, are seeking a community where they can share challenges, issues, proven solutions and best practices. The Center for Closely Held Business is designed to provide these opportunities to businesses in northern New Jersey in a supportive, professional, non-competitive and non-commercial environment.