Podcast series “KPMG Law on air”: When the family business is to be sold

Around 38,000 family businesses are currently handed over each year. In most cases, the change of ownership takes place within the family. But more and more families are deciding to sell. The reasons for this are, for example, that the younger generation has often already gained their own professional experience in other places or studied far away and is increasingly reluctant to return to their home town. Furthermore, the younger generation is less willing to adopt fixed corporate structures and wants more entrepreneurial freedom and work-life balance than their parents had.

Different interests come together in family businesses, not just monetary ones

The sale of a family business poses different challenges than other transactions. The family is often unprepared when the previous management suddenly leaves due to illness or death. The decision to sell is sometimes very emotional and different interests often come together that are not just of a monetary nature. This can lead to conflicts or fuel existing conflicts. Sometimes it is not even clear who has the say in the company. This is because there are sometimes family members behind the official management who have been involved in decisions in the past.
No two family businesses are the same. In any case, good and open communication between all family members is crucial for the success of a transaction. Our experts Mark Uwe Pawlytta and Peter Plennert report on their consulting practice in the podcast.

The contents of the podcast:

• From minute 1:14: Why so many family businesses are up for sale today.
• From minute 7:00: What is the process until the decision to sell is made?
• From minute 10:10: Recurring issues in the sale of family businesses
• From minute 15:17: The most important tips for the transaction process

All “KPMG Law on air” episodes can be found here.