Powder Mills Hotel, a Grade II Listed four-star country house hotel, is set to undergo a comprehensive refurbishment. In anticipation of this transformation, the hotel announces an unprecedented auction sale of its furniture, fixtures, and contents, scheduled for November 5th, 2024, starting at 10 am. This two-day event, live from the hotel premises, offers an exciting opportunity for bidders to participate in person or online via webcast streaming. Nestled within approximately 80 acres of picturesque landscapes on the edge of the High Weald Area of Outstanding Natural Beauty, Powder Mills Hotel boasts a storied history. Built in the 18th century as a gunpowder owner's residence, the hotel offers 48 elegantly appointed bedrooms and versatile function and events spaces. Originally constructed in 1676 by John Hammond, Powder Mill House stands as a testament to Georgian architecture and elegance. The upcoming auction promises to unveil an array of remarkable items, with treasures sourced from the suites, guest bedrooms, and public areas, including the bar, restaurant, and outdoor spaces. Among the highlights are both contemporary and antique luxury furniture, handcrafted pieces, art collections, and Colefax and Fowler drapery and even a Thames cruiser boat named Indulgence. The sale provides a rare opportunity to acquire unique items ranging from mirrors to sofas, tables, chairs, and lighting fixtures. Aligned with the hotel owners' commitment to sustainability and Environmental, Social, and Governance (ESG) issues, the auction model aligns perfectly with these values. "We are delighted that this auction allows us to contribute to a circular economy by giving our furniture and fixtures a new lease of life," say the owners. This auction further cements Pro Auctions’ reputation as one of London’s leading auction houses, known for conducting sales for prestigious establishments such as The Savoy, The Dorchester, The Lanesborough, Mandarin Oriental, and Simpson’s in the Strand. Sale catalogues, images and registration takes place at Pro Auction Limited | Contents of an exceptional Country House Hotel - The Powder Mills Hotel Battle, Bedroom furniture , period antiques, dining room & banqueting (bidspotter.co.uk) or in person at the venue. A sale preview day is scheduled for 4 November 2024 between 11am and 4pm

UK consumer sentiment towards Electric Vehicles (EVs) is gathering significant momentum while buying intent for petrol and diesel vehicles continues to decline, according to EY’s latest Mobility Consumer Index. Key Findings: 59% of UK respondents intending to buy a vehicle in the next two years are prioritising alternative powertrain technologies, up from 54% in 2023 Only 36% of UK respondents in the market for a new vehicle are intending to purchase an Internal Combustion Engine (ICE), down from 41% last year 23% of UK respondents are eyeing a fully electric vehicle as their next purchase, up from 19% in 2023, and significantly up from just 6% four years ago 27% are intending to buy a hybrid next, up from 25% last year, while 10% are most interested in purchasing a Plug-In Hybrid, in line with 2023’s figures EY’s Mobility Consumer Index surveys 19,000 respondents across 28 of the world’s top auto markets Fifty-nine per cent (59%) of UK respondents intending to buy a vehicle in the next two years said their preference would be a Battery Electric Vehicle (BEV), Hybrid Electric Vehicle (HEV) or a Plug-in Hybrid Electric Vehicle (PHEV), up from 54% in 2023 and marginally above the average across the major auto markets surveyed (58%). Specifically, 23% said they were most likely to buy a BEV next, up from 19% last year, and 27% said they would opt for an HEV, up from 25% last year. Meanwhile, 10% of respondents said they were most interested in purchasing a PHEV, in line with last year’s figures. In contrast, only 36% of respondents intending to buy a vehicle said they would prefer to purchase an Internal Combustion Engine (ICE) vehicle, down notably from 41% in 2023 and slightly lower than the average across the major auto markets surveyed as part of EY’s latest Mobility Consumer Index (37%). Overall, 56% of UK respondents said they were either extremely likely or somewhat likely to purchase a vehicle in the next two years, up significantly from last year’s figure of 45%, and the highest figure of any European country. According to UK respondents, the leading factor driving increased interest in EVs is environmental concerns, with 35% citing this as a key reason for wanting to purchase one. Meanwhile, 31% cited high fuel prices, and 27% identified rising penalties on ICE vehicles such as additional taxes as a key concern driving increased preference towards EVs. David Borland, EY’s UK & Ireland Automotive Leader, said: “Following the remarkable resilience shown by the UK’s automotive sector over the past couple of years with consistent growth in new car registrations, it is encouraging to see EY’s latest Mobility Consumer Index suggesting that the nation’s forward-looking car buying intent is also on the rise. This is particularly pleasing given the challenges the UK has seen in declining private retail demand for vehicles in recent times, with fleet sales playing a crucial role in driving new car registration growth." “A particularly interesting finding from this year’s survey is that consumer interest in purchasing petrol and diesel vehicles is declining quite significantly – a trend which could prove a crucial support to the UK’s EV transition, especially in light of the Department for Transport’s intention to revert the ICE sales ban back to 2030." "This is particularly significant given some of the well-documented recent reports around the challenges that EV demand continues to face. Going forward, it will be critical for key players across the automotive ecosystem to collaborate in providing adequate incentives to consumers to make the switch to ensure the UK’s increasing EV buying intent follows a consistent upward trajectory and is converted into increasing sales.” Despite the uptick in EV buying intent among UK respondents to EY’s latest Mobility Consumer Index, there are still several concerns deterring some consumers from purchasing an EV. According to the Index, the top concern is expensive upfront purchase costs, with 37% of survey respondents citing this as a reason they may not opt to purchase an EV, up marginally from 36% in 2023. Meanwhile, a lack of charging stations was the joint-second most cited concern, with 23% of respondents unconvinced by the number of charging facilities in their locality and/or on their travel routes. However, this marks a significant improvement on 2023, when 37% cited a lack of charging stations as a key deterrent from making an EV purchase. With a focus on alternative powertrain technologies, a lack of adequate charging infrastructure emerged as one of the key reasons respondents were considering an HEV or a PHEV rather than a BEV. The other joint-second most noted deterrent around EVs was expensive battery replacement – marking the first time this has emerged as a leading issue for respondents. Importantly, attitudes towards the overall EV experience in the UK appear resilient according to the Index, with a significant proportion (88%) of current EV owners in the market for a vehicle saying they would likely buy another EV, similar to last year’s figure (90%). Maria Bengtsson, Head of Mobility at EY UK, said: “The EV story in the UK has been mixed of late. On the one hand, growth in sales of alternative powertrain vehicles so far in 2024 has represented encouraging progress. However, the Zero Emissions Vehicle (ZEV) Mandate requires automakers to ensure at least 22% of their sales are accounted for by ZEVs in 2024." "The fact that the UK’s year-to-date BEV market share as of September was only 17.8%, according to the Society of Motor Manufacturers and Traders (SMMT), is therefore a concern from a compliance perspective, and faster, more widespread uptake is needed. This is a particularly marked issue given the substantial penalties facing manufacturers for non-compliance." “EY’s latest Mobility Consumer Index indicates the UK is making in-roads with its EV transition, but there is room for improvement to ensure a smooth and effective transition while minimising teething problems. It’s important that policymakers work closely with manufacturers and retailers to help improve perceptions further around all-electric vehicles. Another key challenge will be addressing consumer reluctance around being wholly reliant on charging infrastructure. Expensive battery replacement is also a key concern for UK respondents, so offering solutions like competitive Battery as a Services (BaaS) options could help boost adoption.” In terms of the purchase experience for consumers, physical dealerships continue to play a crucial role. Fifty-five per cent (55%) of respondents said they would prefer to purchase a new car from a dealership/showroom with a slightly lower number (49%) for used cars. Meanwhile, 33% of UK respondents said their preferred vehicle purchase method was online, while 14% say they would evaluate all options, highlighting the ongoing need for both physical and digital retail experiences.

Family businesses represent a unique and vital component of the global economy, characterised by their distinctive blend of personal relationships and professional endeavours. These enterprises are often defined by their commitment to legacy, values, and long-term sustainability, which sets them apart from non-family businesses. At the heart of a family business is the concept of legacy. Many family-owned enterprises are passed down through generations, with each generation inheriting not only the business itself but also the values and principles that have guided it. This continuity fosters a strong sense of identity and purpose, as family members work to preserve and enhance the legacy left by their predecessors. The emphasis on legacy often results in a long-term perspective that prioritises sustainability over short-term gains, allowing family businesses to weather economic fluctuations better than their non-family counterparts. The operational structure of a family business is typically centred around family members who hold key management positions. This can streamline decision-making processes, as familial bonds often lead to a more cohesive and unified leadership team. Moreover, involving family members in management can reduce labour costs and increase trust within the organisation. However, this structure can also pose challenges. The informal management style that often accompanies family-run businesses can lead to blurred lines between personal and professional relationships, potentially resulting in conflicts or nepotism. Addressing these challenges requires clear communication, defined roles, and sometimes the involvement of external advisors to provide objective perspectives. One of the most significant challenges faced by family businesses is succession planning. Ensuring a smooth transition of leadership while maintaining the core values and vision of the business is crucial for its continued success. This process can be complex, as it involves not only selecting a suitable successor but also preparing them for leadership roles while managing the expectations and emotions of other family members. Successful succession planning requires careful consideration and strategic planning to balance family dynamics with business needs. Balancing tradition with innovation is another critical aspect of running a successful family business. While preserving tradition is important for maintaining the identity and values of the business, embracing innovation is essential for adapting to changing markets and consumer demands. Family businesses that manage to strike this balance can leverage their deep-rooted traditions as a foundation for innovation, ensuring they remain competitive in an ever-evolving business landscape. Family businesses also have a profound impact on society. They contribute significantly to local economies by creating jobs and fostering community development. Their commitment to core values often translates into responsible business practices, such as ethical sourcing, environmental sustainability, and philanthropy. This sense of responsibility extends beyond the business itself, as many family enterprises engage in initiatives that support local communities and address social issues. The essence of a family business lies in its ability to intertwine personal relationships with professional goals, creating a unique entity that values legacy, sustainability, and community impact. While they face distinct challenges such as succession planning and balancing tradition with innovation, their long-term perspective and commitment to values make them resilient contributors to both local economies and global markets. By navigating these challenges effectively, family businesses can continue to thrive across generations, leaving lasting legacies that benefit not only their families but also society at large.

A Lake District hotel venue is giving a helping hand to mother nature and the environment whilst giving newlywed couples a permanent, personalised memento of their big day. The Wild Boar Estate, which is set in 72 acres of rural woodland, is giving couples married at the venue their very own personalised, engraved bird nesting boxes. The boxes, created by Penrith based Croglin Ltd, are expected to provide homes for a range of British bird species, from blue tits and sparrows to pied wagtails and robins. And Wild Boar Estate is providing each married couple with their own map of where their engraved bird box is located in its woodland, as well as a what3words geocode to map the exact spot. The woodland bird boxes are usually mounted in the autumn as it is generally accepted as the optimum time for birds to see, investigate and get used to them before the following spring. Callum and Amy Maguire from Barrow-in-Furness, who recently tied the knot at Wild Boar Estate, are one of the first couples to see their bird box being mounted. “We were thrilled to hear that the English Lakes Hotels team was doing this,” says Callum. “It’s a simple idea for making a positive difference to nature and the birdlife in the woods here. We’re proud to be a part of that." “It’s also been a great way to put a personal touch on our wedding and has given us a permanent memento of the day which we can come back and see any time.” According to an RSPB study with BirdLife International and the Czech Society for Ornithology, the country has lost around 600 million breeding birds in the last 40 years. That is around one in six of the bird population. Amy Smethurst, wedding co-ordinator at Wild Boar Estate, adds: “The personalised wedding bird nest boxes are already a big talking point with brides and grooms planning their nuptials with us. For each married couple tying the knot here, the engraved nest box which we put up in our woodlands displays their names and the anniversary date of their wedding day." “We hope that couples will come back to see us on their anniversary each year to see how their bird box is faring, and we hope that the boxes will provide a home to a host of birds and allow them to thrive and grow with families of their own.” Find out further information about weddings at Wild Boar Estate here

Businesses are struggling to manage Gen Z as new research reveals that they demand more from employers than any previous generation. That’s according to Robert Half’s 2025 Salary Guide . New data shows the emerging generation want more money, more security and more perks Key Findings: Two thirds of hiring managers say Gen Z have become more demanding Almost a third of younger generations value pay over job security Nearly a quarter would move jobs if they don’t get the pay rise they ask for According to the data – which surveyed 1,000 employees and 500 hiring managers across the UK – 67% of hiring managers feel that Gen Z has become more demanding when it comes to salary expectations compared to last year. This is followed by millennials (64%), Gen X (37%) and baby boomers (22%). While the data revealed that job security is valued as more important than pay by 43% of all employees, Gen Z was more likely than any other age group to prioritise remuneration. Almost a third (29%) of respondents in this demographic rated pay over job security, compared to 25% of millennials and 23% of Gen X. The study also revealed that younger professionals are less loyal to their employers, with 20% of Gen Z revealing that they would move jobs if they didn’t get the pay rise they want, while 12% would ask for more benefits instead. Nonetheless, businesses need to be aware that Gen Z workers are particularly motivated by jobs that align with their values and give them a sense of purpose. The types of organisations that resonate with Gen Z are the ones that make a positive impact on society and the environment, promote a culture of continuous growth and development, and encourage autonomy and entrepreneurship. As Matt Weston, Senior Managing Director UK & Ireland at Robert Half explained, this is putting further pressure on employers that are already contending with budget constraints and skills shortages: “Gen Z might be the most digitally-savvy demographic in the workforce, but according to our research they are also the most demanding when it comes to pay and renumeration. As businesses struggle to balance already limited budgets with the need to recruit and develop emerging generations, carefully developed talent attraction strategies that appeal to Gen Z will be a priority. “Given that this demographic is the future of the workforce, it’s critical that employers find a way to strike the right balance between remuneration and retention strategies that build loyalty longer-term. The fact that our data shows that Gen Z is willing to consider additional perks and benefits where pay increases aren’t feasible shows that there are alternative routes to attracting and engaging this generation." "With Gen Z ultimately driven by meaning and purpose, businesses could employ alternative engagement methods, such as showing how their role contributes to the larger goals of the company and the world. Emphasising the social impact or ethical dimensions of their work and involving them in sustainability or social responsibility initiatives can go a long way.”

Starter Packs Glasgow has received a £500 donation from the Allied Vehicles Charitable Trust to support its mission of helping vulnerable individuals and families as they transition into new homes. The charity provides essential household items to those moving into social housing, people recovering from crises like house fires or floods, and those fleeing domestic violence. By assembling packs with items such as bedding, kettles, toasters, and toiletries, the organisation supports over 2,500 individuals a year, ensuring that each person starts their new life with the basic items needed to live comfortably. The £500 donation will help Starter Packs Glasgow purchase these much-needed supplies, and could cover the cost of 45 kettles, 33 toasters or 12 full packs. Jacqui Flynn from Starter Packs Glasgow said of the impact the Trust donation will make: “Starter Packs Glasgow has been supporting households across Glasgow and beyond for the last 23 years. From young care leavers, those leaving the armed forces, people beginning lives again after relationship breakdowns, violence and abuse, and families who have been or are at risk of homelessness, we supported over 2500 individuals last year." “Each year we see an increasing need for our service and this year has been no exception. Coupled with rising stock costs and running costs, it has been harder than ever for us to make ends meet. The £500 donation from Allied Vehicles Charitable Trust is such a support to us and ensures that we can keep purchasing the essential items needed for our packs such as kettles, toasters and bedding.” The organisation also received a contribution from Allied Vehicles in the form of approximately £1,000 worth of kitchenware. These contributions will ensure that even more households can receive the essential support they need, offering a warm welcome to those in Glasgow and surrounding areas as they rebuild their lives. David Facenna, Corporate Culture Director at Allied Vehicles Group said: "Everybody at Allied is delighted to support Starter Packs Glasgow and their incredible work. By providing essential household goods, they play a vital role in helping families and individuals rebuild their lives after experiencing challenging situations. We hope this donation and the additional items will make a meaningful difference to those in need."

Robertson Construction Northern continues its strong relationship with Elgin’s Gordon & MacPhail as work begins on the construction of £3.5m warehouse at its Benromach distillery in Forres. The new warehouse follows the construction of two other warehouses in 2019 for the family-owned firm which has been bottling single malt whiskies since 1895. Recently, the company announced a focus on building its own brands including the multi award-winning Benromach. Benromach was brought back from closure by Gordon & MacPhail in 1993 who refurbished and re-equipped the distillery to create a ‘handmade Speyside Single malt with a hint of smoke’. Warehousing is an important part of the creation of this style of whisky with the maturation process tightly controlled and regularly monitored to maintain excellent quality standards. Casks are hand filled with ‘new-make’ Benromach spirit and placed in a traditional dunnage- warehouses (long and low, with an earthen floor) which maintains consistent temperatures ideal for maturing single malt whisky. The new warehouse will support Benromach's continued growth by providing additional space for whisky storage and maturation before bottling to meet international demand. Work is expected to complete in late spring next year. Once finished, the warehouse will have a steel whitewash finish to match the neighbouring warehouses and the historic 1898-built Speyside distillery. Ian Phillips, Regional Managing Director, Robertson Construction Northern, said: “Benromach’s growth has been exceptional. The warehousing is vital to the maturing process of the whisky so it’s a great opportunity for us to apply our expertise for Gordon & MacPhail once more." “We have been working with the company for almost 20 years and as well as being an Elgin-founded, family-run company, we also share their commitment to high-quality craftmanship and support for the local supply chain and community.” Stuart Urquhart, Operations Director, Gordon & MacPhail, said: “Our award-winning single malt is a great success story and more warehouse space is needed to cope with the strong demand for our hand crafted product. We’re particularly pleased to be working again with another great family firm with its roots in Moray, Robertson Group, who also built our earlier warehouses.” Founded in Elgin, Robertson Group is one of the largest family-owned construction, infrastructure and support service business in the UK and this marks the fifth project for Gordon & MacPhail and Robertson Construction Northern. It has extensive experience working with whisky companies across Scotland, including the £140m construction of The Macallan Distillery for Edrington. Photo L-R: Jade Crotty, Head of Compliance and Infrastructure, Gordon & MacPhail; Ian Phillips, Regional Managing Director, Robertson Construction Northern; and Stuart Urquhart, Operations Director, Gordon & MacPhail.

Farmers and growers are increasingly concerned by reports that the Treasury is considering major changes to Agricultural Property Relief (APR) as part of the forthcoming budget, something which would have a serious impact on many family farms. APR allows working farms to be passed from the principal farmer upon their death to the next farming generation, by making such businesses free from Inheritance Tax so long as they are working farming businesses. Significant changes to, or the abolition of, APR could have a disproportionate effect on small family farms, which are the backbone of British agriculture. NFU analysis of APR suggests that scrapping it would only save the Treasury £120 million a year, whilst the negative impact on farming would be much larger. The Union recently wrote to Chancellor Rachel Reeves about the vital need to protect family farms and tenants through APR, and NFU President Tom Bradshaw also made the case to the Chancellor at the Labour Party Conference in Liverpool this year. Mr Bradshaw said today: “NFU members keep seeing these alarming media reports and they are understandably worried and upset. Major APR changes would put at risk many farming families’ succession plans and consequently undermine the government’s own ambitions for food and environmental security." “I’m also very concerned that changes would damage the tenanted sector, as landowners will have much less incentive to let land to agricultural tenants. In short, this “Family Farm Tax”, which is what removing APR amounts to, could be too much for some farming businesses which are already struggling with numerous challenges.” Mr Bradshaw added: “Farming is often a generational business, and APR is what makes it possible for small family farms to pass from one generation to another. We’ve given the Treasury the details and evidence for our concerns and we stand ready to meet ministers and officials again, at any time, to reinforce the point that a Family Farm Tax could push many small family farming businesses over the edge.”

Little House’s Group family members’ clubs has selected Hill Cross Furniture to supply bespoke, luxury furniture for its second outpost, Jesse’s House in Parsons Green. Entrepreneur Charlie Gardiner launched The Little House’s Group to create a family of clubs that both parents and children will love. The first club, Jaego’s House, is in Kensal Rise, London. The aim of Jesse’s House is to give tired parents a place to reconnect and recharge. Offering monthly memberships, the club is a joyful, jam-packed paradise for kids and parents alike. The Mediterranean inspired club was purpose built from the ground up and includes an indoor pool, a covered outdoor pool, gym, kids’ cinema, study, Reformer Pilates studio, creche, outdoor courtyard and playground, mini sports pitch, together with a range of catering options including a restaurant and courtyard cafe. Hill Cross Furniture, the family-owned contract furniture supplier based near Northallerton supplied a range of bespoke furniture to fit in with the luxury aesthetic of the private members’ club. The range included 50 Woodbender Riga chairs, custom-made solid oak tables and bench seating for the dining area, and sofas and armchairs handmade in the UK for the kids’ cinema. The terrace is one of the highlights of the club, featuring an outdoor pool and lounge areas. Hill Cross Furniture supplied high-end outdoor furniture including Bolognia side chairs, bar stools and Paradiso tables for the terrace, which are designed to withstand the elements and are 100% recycled and recyclable. Olivia Rostron, Chief Operating Officer at The Little House’s Group said: ‘’Our vision for the club was a Mediterranean inspired family paradise and Hill Cross Furniture nailed the brief by lending their expertise to supply bespoke furniture that is not only beautiful to look at but is also robust enough to combat the wear and tear of use by young children and families.’’ Steve Dale, MD at Hill Cross Furniture said: “We were thrilled to work on such a prestigious project. It’s great to see a wide variety of our furniture on show at Jesse’s House and demonstrates our varied product range from bespoke sofas and tables to the Woodbender chairs, which we’re proud to be the UK’s exclusive trade vendors of. We look forward to working with The Little House’s Group in the future.’’

Family businesses hold a unique and significant position in communities worldwide, serving as pillars of economic stability, social cohesion, and cultural continuity. Their impact is multifaceted, extending beyond mere economic contributions to encompass social and cultural dimensions that enrich the communities they serve. Economic Contributions Family businesses are a cornerstone of the global economy. They account for a substantial portion of GDP in many countries and are responsible for a significant share of employment. This economic influence is particularly pronounced in small towns and rural areas, where family-owned enterprises often dominate the business landscape. By providing jobs and stimulating local economies, these businesses help reduce unemployment and foster economic resilience. Their long-term perspective allows them to weather economic downturns more effectively than some non-family counterparts, contributing to community stability. Social Impact Beyond their economic role, family businesses have a profound social impact on their communities. They are often deeply embedded in the social fabric, with generations of families living and working in the same area. This deep-rooted presence fosters a sense of trust and loyalty among employees and customers alike. Family businesses tend to prioritise relationships over transactions, creating a supportive work environment that values employee welfare and development. This approach not only enhances job satisfaction but also contributes to lower turnover rates, ensuring continuity and stability within the community. Cultural Significance Family businesses also play a crucial role in preserving and promoting local culture and traditions. Many family enterprises are involved in industries such as crafts, food production, or hospitality, where cultural heritage is integral to their operations. By maintaining traditional practices and supporting local artisans, these businesses help preserve cultural identities that might otherwise be lost in an increasingly globalised world. They often sponsor cultural events, festivals, and other community activities that celebrate local heritage, thereby strengthening communal bonds. Community Engagement The commitment of family businesses to community engagement is another critical aspect of their importance. These enterprises frequently engage in philanthropic activities, supporting local schools, hospitals, and charities. Their investments in community infrastructure—such as parks, recreational facilities, or public spaces—enhance the quality of life for residents. Moreover, family businesses are often at the forefront of addressing environmental concerns within their communities. Their long-term orientation aligns with sustainable practices that benefit both the environment and future generations. Challenges and Opportunities Despite their many contributions, family businesses face unique challenges that can impact their ability to serve their communities effectively. Succession planning is a critical issue; ensuring a smooth transition between generations requires careful planning and management. Additionally, family dynamics can sometimes complicate business operations, necessitating clear governance structures to balance familial relationships with professional decision-making. Nevertheless, these challenges also present opportunities for innovation and growth. Family businesses are increasingly adopting modern management practices while retaining their core values, enabling them to compete effectively in today’s dynamic market environment. By embracing technological advancements and expanding their reach through digital platforms, they can continue to thrive and contribute positively to their communities. In the world in which we live today, family businesses matter immensely to communities around the world due to their substantial economic contributions, social impact, cultural significance, and commitment to community engagement. Their unique blend of tradition and innovation positions them as vital players in fostering sustainable development and enhancing the quality of life for countless individuals globally. As they navigate the challenges of the modern business landscape, family businesses remain steadfast in their dedication to serving as stewards of community well-being for generations to come.

Nepotism is defined as the practice among those with power or influence of favouring relatives, friends, or associates, especially by giving them jobs and is often a topic of discussion within the realms of family business. We asked our Global Family Business Think Tank Panel if they thought that when it comes to selecting the next leaders of the family business, nepotism still exists. Our respondents were broadly in agreement that despite the recognition of the issue, nepotism remains a key challenge for families in business around the world today. THE THOUGHTS OF OUR ‘THINK TANK’ REPRESENTATIVES: “Nepotism does still exist today but it is not always negative. Business families may prepare their next generation from very early on, or next generations may want to be part of the business from a very young age and put themselves in places that help them learn more about the family and the business. In both instances, if they became future leaders some would argue that it is a nepotistic decision, even though those taking over have been prepared to take on the position.” Isabel Botero George E. & Mary Lee Fischer Chair in Family Entrepreneurship, University of Louisville “In my experience, I currently see that family businesses have a preference for finding competent leaders within the family. If a well-qualified person is found within the family, that will certainly be the choice.” Rogerio Fae Rodrigues Family Business Consultant, UNE Consultoria "Nepotism still exists, though it is not necessarily bad. There is nothing better than a family business led by a qualified family member, and nothing worse than a family business led by an unqualified family member.” Josh Baron Senior Lecturer, Harvard Business School “First choice will naturally be a blood relative who has the ability and willingness to take on the responsibility. If a suitable blood relative is not available then a suitable non-family person can take over the management.” Andre Diederichs CEO, Family Business Association of South Africa (FABASA) “The concept of family members continuing to lead the family business over many generations in and of itself is not a problem. The practice becomes a problem when family members are not prepared as future leaders for the family and the business. To prepare future leaders you must begin to prepare them now.” Charlie Leichtweis Founder and Managing Director, Experts in How LLC “In my experience, if you put someone in a position who does not have the skills, competencies, and attitude to do well in that role then ultimately that will have a negative impact on the business. In an increasingly competitive world, putting someone in a position purely because of accident of birth does not set up a business to succeed.” Beverley Mitchell Founder, Beverley Mitchell Consulting “Families are often reluctant to appoint external professional management which is not surprising in many ways as a founder will likely want their legacy to be carried on by their children and so it is perhaps natural that children succeed into leadership roles.” Mike Kane Partner & Head of Family Business, Turcan Connell “Nepotism, when used effectively and in the right circumstances, can be a competitive advantage for family businesses. Having leaders with an intrinsic connection to the business and alignment to the family’s values and shared purpose can be potentially quite beneficial. We often talk about wanting management to think like owners and this enables that but does require the right individual and level of support and structure to ensure it remains a competitive advantage.” Daniel Trimarchi Director, Family Enterprise Advisory, KPMG “Nepotism does still exist but that may always be an element of the nature of family firms. It is important to communicate clearly with other important, and potentially ambitious people about what they should expect in terms of the leadership positions they can and cannot achieve in the business.” Jasper Brinkerink Lecturer in Entrepreneurship & Innovation, University of Edinburgh “Attitudes to inheritance are deeply cultural and where one culture watches for bias and is uncomfortable with nepotism, another sees the family connection as the most naturally trusted source of succession. Not everyone sees nepotism as a bad thing and each context is unique.” Nick Mayhew Founder & Managing Director, Alembic Strategy “To a lesser degree perhaps. As family business boards become more diverse we see a culture of meritocracy begin to form, where family (or increasingly non-family) members rise to the top based upon performance and the contribution they are able to make.” David Twiddle Managing Partner, TWYD & Co “Trust and family legacy drive this behaviour. In my experience, one of the hardest issues a family faces is the reality the next gens might not be the best candidates for leading. Building emotional intelligence in addition to technical skills tends to be the biggest leadership gap.” Allie Taylor PhD Owner & Business Psychologist, Orange Kiwi LLC “Yes, but is this necessarily a bad thing? Self-awareness and preparation is the key here. If the business and product is driven by the family legacy and it is important for the family to present the leading face of the brand, it might be an essential part of the business strategy in the medium term. This should then be aligned to the values and message communicated by the business to the outside world.” Charlotte Tong Partner, Goodman Jones LLP “Nepotism continues to pose a significant challenge in family businesses. This practice places family enterprises at a disadvantage relative to non-family counterparts, as it restricts access to top professional talent, potentially jeopardizing the longevity of the family firm. Prioritising professionalism within the family business and adopting merit-based criteria for candidate selection, grounded in experience and talent, yields considerable advantages for both the enterprise and the family.” Jacqueline Schwartz Founder, Legado Consentido “The best family businesses have little or little tolerance for nepotism.” Michael L Chindamo Founder, Fautores Family Offices “Regrettably ‘blood continues to be thicker than water’ and it is only the most enlightened businesses that buck this trend and are then the ones that tend to survive.” Howard Hackney Founder, Howard Hackney LLP “We still have a long way to go in changing the conditioning of family business leaders to consciously mitigate biases and remain aware of their own judgements when selecting the next generation of leaders.” Abirami Duraisamy Executive Coach, Outshine Outplay “I think in any family business there is always a bit of nepotism because you implicitly trust your family members. A lot of families want their children or next gen to be in the business but that doesn’t mean they should. While families can try to see if the next gen can lead, if they find out that they cannot, it’s best for both the family and the business to be up front and communicate about who is the best future leader for the business, even if that is not a family member.” Kyler Gilbert Vice President, Business Consulting Resources These results were part of the 2 024 Global Family Business Think Tank Report  that was published in Autumn 2024. A copy of the final report is available to download below and is free to Family Business United members and digital subscribers (simply log in to access). If you are not yet a member or digital subscriber and wish to obtain access to the report, you can find out more about becoming a member  of Family Business United here  or take out a digital subscription  to access all areas and content available on the platform including this report here Download the Global Family Business Think Tank Report, Autumn 2024 here

During the transition of family-owned businesses to the next generations, the issue of whether the upcoming generation should acquire experience outside the family company before coming on board becomes more relevant. We asked our Global Family Business Think Tank Panel if they thought that it is important for the next generation to gain experience outside of the family business before embarking on a career within it. Obtaining outside experience can prove to be a strategic decision for various reasons, influencing the future of family enterprises on a global scale. Again, our panel strongly believe that it is important for the next generation to gain experience outside of the family business before embarking on a career within it. THE THOUGHTS OF OUR ‘THINK TANK’ REPRESENTATIVES: “The competencies to be successful as a next generation member can be learned in multiple ways, not just working outside. Personally, I think that requiring the next generation to work outside without a precise plan of what the experience needs can be very negative for a family.” Isabel Botero George E. & Mary Lee Fischer Chair in Family Entrepreneurship, University of Louisville “This is so important as gaining experience outside of the family firm helps them gain broader experience and networks and to grow outside of the family spotlight.” Kedge Martin CEO, KM Advisory "This depends a bit on the type of business the family operates and what the aspirations of the family are. Some businesses will need to innovate their way of doing things substantially if they are to remain competitive in the digital age, and in many case the next gen may have to gather insight and experience themselves through outside experience. In other types of businesses it may not be as necessary and the next gen may actually learn more from building their experience and legitimacy by climbing the ranks within the family business.” Jasper Brinkerink Lecturer in Entrepreneurship & Innovation, University of Edinburgh “Experience outside of the family business gives the next generation confidence. It allows them to bring new and fresh ideas to the table and ensures they receive respect from their colleagues.” Kirsten Taylor-Martin National Head of Family Business Consulting, Grant Thornton Australia “I see many benefits that heirs can gain from working in non-family businesses early in their careers. They will learn to face challenges in a less protected environment, understand hierarchy, performance evaluation, career progression, self-knowledge and self-confidence.” Rogerio Fae Rodrigues Family Business Consultant, UNE Consultoria “It is important for the business to know that the family member has credibility, just as it is for the family member to know that they have earned their credibility (elsewhere).” Tom White Chairman, Haws Corporation “I think, these days, the importance of this can be overplayed. Today, there are many ways the next generation can accelerate their development, including accessing mentoring and/or joining virtual boards or collaborative organisations. These new ways can expose the next generation to experiences outside the family firm whilst simultaneously building their knowledge, relationships and credibility within the business.” David Twiddle Managing Partner, TWYD & Co “Research shows that resilient family firms look outwards, always horizon scanning so it is vital that the next generation sees what is going on elsewhere, learns from it and then decides how to use it back at the family firm. Of course, that may be a challenge for the older generation!” Rachel Mallett Partner, Brown and Mallett Agriculture, PhD Student, Harper Adams University “The research is literally 50/50 on this and one family’s best prescription is another family’s poison. It is more important to clarify entry and exit ramps for the family enterprise early than have one way to do this that may disincentivize individuality. An unintended consequence of outside employment is that the next generation may not come back to the family’s ‘unsexy’ business.” Natalie McVeigh Managing Director, Eisner Amper “First for me, the key to success is success as a family to become a generative family or a family of affinity and how can that happen if the rising generation don’t have the opportunity to individuate and go on their own hero’s journey? The same applies to working in the family office – go and work somewhere else first. The human capital is more important than the financial capital. If you have someone who has only ever worked in the family business then there is too high a risk that such a person cannot accept their own vulnerabilities, can’t accept their own shortcomings and shadow, and can’t grow as a person.” Christian Stewart Independent Family Advisor, Family Legacy Asia "Gaining experience outside the business before embarking on a career within it can provide priceless perspective, new ideas, feedback and opportunities to learn whilst not being under the proverbial ‘microscope’ in the family business.” Nick Di Loreto Partner, BanyanGlobal These results were part of the 2 024 Global Family Business Think Tank Report  that was published in Autumn 2024. A copy of the final report is available to download below and is free to Family Business United members and digital subscribers (simply log in to access). If you are not yet a member or digital subscriber and wish to obtain access to the report, you can find out more about becoming a member  of Family Business United here  or take out a digital subscription  to access all areas and content available on the platform including this report here Download the Global Family Business Think Tank Report, Autumn 2024 here