57.9% of Family-Owned Businesses Have Operated for 10+ Years
April 29, 2024
Delaney Sexton
Contributing Editor
57.9% of Family-Owned Businesses Have Operated for 10+ Years
In April, the SBA Office of Advocacy looked at characteristics of family-owned businesses. They found that 27.3% of all businesses were family-owned (two or more family members own a majority of the business). Family businesses were more likely to operate in the goods-producing sector than nonfamily businesses. These businesses are also more likely to have over 10 employees. Compared to other businesses, family-owned businesses were less likely to be startups and more likely to have been in operation for over 10 years.
Family-owned businesses had less employment growth between 2014 and 2021. While family employment grew by less than 1%, non-family employment grew by 11.5%. Total employment growth was 7.6%. Between 2017 and 2021, employment at family-owned small businesses actually saw a decline of 14.3%.