Survey Shows 83% of Family-Owned Business Still Operating after 20 years, with 32% Going Strong Between 50 and 100 Years
— America’s Family-Owned Businesses Outpace Traditional Corporations in Longevity, New Family Enterprise USA Survey Shows
Survey Shows 83% of Family-Owned Business Still Operating after 20 years, with 32% Going Strong Between 50 and 100 Years
A new survey found 83% of family-owned businesses have been in business for 20 years or more, a sharp contrast to mature, publicly-traded companies with an average life span of 18 years.
The survey, from Family Enterprise USA, details the longevity, ownership, and employee levels of America’s family-owned businesses, a key driver of the U.S. economy. Family-owned businesses contribute $7.7 trillion annually to the U.S. economy and support 83.3 million jobs, according to research.
According to the U.S. Bureau of Labor Statistics, nearly half (48%) of all businesses fail within the first five years, while only about one third, or 35%, are still operating after 10 years. Large, mature corporations on the S&F 500 have an average life span of 18 years.
This is in sharp contrast to family-owned businesses which last substantially longer, with some 32% in business 50 to 100 years, and 26% in business from 30 to 50 years, according to the family-owned business survey. The study also found 14% of family-owned business have been operating for over 100 years.
Results from the 2026 Annual Family-Owned Business Survey by Family Enterprise USA (FEUSA) are based on a survey among 710 family-owned business respondents from 46 states.
Employee and Ownership Strength
The survey results also show family-owned businesses with 68% having family members working in the business and over half of the businesses (51%) employing more than 51 workers.
In addition, the survey shows 11% of the family businesses are big employers, employing over 500 employees.
The survey, which covered a wide range of topics, from top tax and economic concerns to cyber-security issues to ownership issues, found family-owned businesses plan to stay family-owned.
When asked who they “anticipated being the next owner” of the business, 72% said the business will “stay in the family.”
It was found only 9% would sell to “Non-Family Employee” and 3% would sell to “Private Equity.”
When it came to “Holding Ownership,” the survey shows 78% are “Pass Through Entities,” such as S corporations, limited liability companies, or partnerships. Some 22% were held in C Corporations, trusts, or other entities, the survey found.
“Family-owned businesses are long-term, powerful drivers of our economy,” said Pat Soldano, President, Family Enterprise USA, survey organizers.“We see time and again family business are the most stable economic force we have in our country and yet they have challenges larger, traditional corporations never face, such as paying higher taxes and the threat of large Estate Taxes upon the founder’s death,” she said. “This research is an important annual tool to educate our policy makers, so they understand the importance and size of family businesses in our economy, and to make better policy decisions to help family-owned businesses grow and prosper for generations to come.”
For an Executive Summary of the 2026 Annual Family-Owned Business go to: FEUSA 2026 Annual Family-Owned Business Survey.
About Family Enterprise USA
Family Enterprise USA promotes family-owned business creation, growth, viability, and sustainability by advocating for family businesses and their lifetime of savings with Congress in Washington, D.C. FEUSA represents and celebrates all sizes, professions and industries of family-owned enterprises and multi-generational employers. FEUSA is a 501.C3 organization
Contact Info:
Name: Bob Chew
Email: Send Email
Organization: Family Enterprise USA and Family Enterprise USA Action
Address: 712 H Street NE Suite 1330, Washington DC, United States
Phone: 310-383-0528
Website: https://familyenterpriseusa.com/
Video URL: https://www.youtube.com/watch?v=HBV5HEsFKss
Release ID: 89199167
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