News Article - 16 November 2006
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The majority of family-run businesses would rather sell their company to an outsider than pass it on to offspring, a report has shown.

According to the report from KPMG, 62 per cent of family businesses said they would be open to a takeover offer from an outsider despite not looking to sell-up.

"Our research dispels the stereotype of the emotionally attached family business leader," said Adrian Dray, partner at KPMG Corporate Finance.

"The decision to sell a business is all about price and timing and only when both of these are right can the offer be described as tempting."

Of the 100 medium-sized family companies questioned, 29 per cent said they expected to sell to an outside trade offer, with a further quarter saying they expected to be succeeded.

However, all of those respondents questioned after selling-up within the last two years admitted they had not opted for the succession route.

A recent survey conducted by Grant Thornton found that stress levels of almost half of UK family businesses increased significantly over the last year and look set to rise further.

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