Following the successful Institute for Family Business (IFB) conference, held recently in Glasgow, it turns out that the businesses viewed as most trustworthy in Scotland are family owned.
The research from the IFB captured my attention, revealing the Scottish public rates family businesses as head and shoulders above the rest when it came to trust.
Employee-owned businesses came second, outranking the likes of public limited companies and equity-backed companies.
I’m not hugely surprised because Scotland has some outstanding family business success stories so we’ve every reason to put our faith in the many incredible home-grown family firms we have.
For me some of the first names that spring to mind are the likes of Tunnock’s, William Grant & Sons and Edinburgh Woolen Mill for example.
All household names, and all spanning a diverse range of sectors, and there are many more across construction, retail, hospitality and automotive to name but a few, all run by successful entrepreneurial families.
Family businesses have long been described as the backbone of the Scottish economy, and with good reason. In fact family founded firms equate to around 84 per cent of all businesses in Scotland, which is an overwhelming majority.
After some quick research I discovered that the top 100 family firms collectively generate a combined turnover of £17.2 billion in Scotland. Whilst the IFB states that family businesses in Scotland employ around 874,000 people in total. These are incredible statistics – the contributions from these businesses are highly significant to our economy.
They contribute to the economy, offer employment opportunities, create wealth and impact local communities in ways in which other businesses simply don’t.
There are so many reasons why they garner consumer trust and brand loyalty. For starters, those at the helm have such a personal investment in their business that goes way beyond just pound signs.
It’s also an emotional investment, with every decision taken against the backdrop of preserving the history, heritage and reputation of the family name. They must think carefully about every decision and take a long-term view when making investment decisions and forging relationships.
They’re also perceived to be better employers, to offer a high standard of customer service, and they often know their local audiences better than corporate giants as they are led by multigenerational families who know their local communities inside out.
I do wonder if, since the pandemic, there has been an upturn in the support of family businesses as we noticed a dramatic rise in people committing to supporting local names instead of big corporate brands. Many consumers undoubtedly made an effort to back home-grown businesses to help keep their local economies alive and I’m sure many family businesses will have benefitted from this wave of support.
Despite the glowing figures reported by businesses of this type, it can be a hard slog and can bring an immense amount of pressure. Not every family business out there, like those big success stories I mentioned earlier, will have mastered the formula.
Often their downfall can be their reliance on outdated strategies and traditions, because that’s how they’ve always done things – meaning they aren’t moving with the times to keep up competitors.
My advice to those thinking of starting up a business or who are already running a family firm is never stand still. Make sure you continue to evolve and grow.
Do your market research to keep on top of what your customers want and expect from you, and look at where you can provide added value.
And make sure your long term vision includes succession planning. Don’t leave it until you are stepping down to have those difficult conversations with family about who will take the helm, whether they want it, and whether they have the skills and knowledge to lead the company you’ve grown into the future.
Doing that now will ensure the longevity and success of your company and make sure your company is one of the many playing an essential role in fueling the country’s economy.
Scotland’s new economic blueprint shows ambition
I was pleased to read about the recently unveiled blueprint to make Scotland a global leader in innovation and sustainable growth, something that’s both exciting and promising.
The ambitious plan, outlined by the Scottish government, aims to unleash the nation’s economic potential, foster innovation, and create a sustainable future.
The blueprint’s emphasis on innovation and technology is exciting. By investing in research and development, we can continue to nurture the culture of innovation that we’re so famous for, while attracting top talent and fostering a vibrant entrepreneurial ecosystem.
Key to this is that it will not only propel existing industries but also lead to the creation of new high-value sectors, bolstering Scotland’s position on the global economic stage.
But some concerns must be addressed for the blueprint to succeed – particularly infrastructure development.
Scotland’s ambition to attract new industries and foster economic growth hinges on having robust and modern infrastructure, including transportation, digital connectivity, and logistics. Investment in these areas will be crucial to ensure seamless connectivity and efficient supply chains, enabling businesses to thrive.
Another critical factor is skills development. To harness the full potential of the blueprint, Scotland must invest in education and training programs that equip its workforce with the necessary skills for the future. Collaboration between businesses, educational institutions, and government bodies will be vital to bridge any skills gaps and ensure a highly skilled workforce capable of driving innovation and entrepreneurship.
It goes without saying that effective implementation, strong partnerships, and timely investments will be crucial in turning this vision into a reality.
There are a lot of moving parts and much work to be done, but if the vision is realized there’s no doubt that Scotland can pave the way for a prosperous and sustainable future.
It Made Me Laugh
In a world full of grand aspirations, one man is here to remind us that sometimes, it’s the most outlandish ambitions that bring the biggest smiles.
Case and point is Dave “Daredevil” Henderson, the extreme unicyclist who is taking the art of daredevilry to new, one-wheeled heights.
Henderson recently shared his mission to teach kids about the value of realistic dreams, saying: “Why settle for ordinary when you can ride a unicycle across a tightrope suspended between two hot air balloons?”, while expertly juggling flaming torches.
His unorthodox approach to providing inspiration has left youngsters and adults alike in fits of laughter. But I’ll bet few people could come up with a more exciting way to instill the idea of reaching for the stars.
So, the next time you find yourself chasing a dream, take a moment to reflect on Dave’s audacious adventures and remember anything’s possible.
It Made Me Weep
I heard Britain’s most remote pub, The Old Forge, is offering a mouth-watering incentive for beer fans – but the efforts you need to go to bag that free beer would bring a tear to the eye.
The pub, which lies on Scotland’s Knoydart Peninsula, has generously offered customers a complimentary beer.
But here’s the catch: in order to claim your free brew, you must endure a six-mile ferry crossing from Mallaig, or an arduous 40km trek over wild mountainous terrain with no shelter from the nearest village, Glenfinnan, home to the ‘Harry Potter railway viaduct’.
That’s certainly one way to put your business on the map!
If you prefer to pop to your local you might want to skip this one, but if you’re the outdoorsy type and don’t mind sweat, tears and blistered feet, at least you’ll have something to quench your thirst when you get there!
