Profits before legacy for family businesses in Singapore: survey

Singapore

FOR family-run businesses in Singapore, profits come before legacy.

A new report by KPMG and CPA Australia on Singapore family businesses found that 93 per cent of business founders surveyed said continued profitability was more important than preserving their legacy.

This comes then, as nearly all business owners polled showed struggles with succession. Most family businesses in Singapore falter at first transition; only 13 per cent make it into the third generation.

Chiu Wu Hong, head of enterprise at KPMG in Singapore said: "Informal governance structures that may have worked well for the founders of the business may not meet the needs and interests…