Should Private Banks Be In The Family-Business Business?

The odds are stacked against family business succession: Only a third of family companies survive their founders and, of these, only 10 percent make it to the third generation. As every major private bank is aware, much wealth can be squandered when business families fail not as leaders of significant enterprises, but as families. While banks may understand the specialized nature of family enterprises—in which business, wealth, ownership and family are interdependent—their track record for delivering services that provide comprehensive solutions is mixed.