Celebrating National Family Business Day 2024: The Backbone of Australian and New Zealand Economies

National Family Business Day, celebrated on Thursday 19 September 2024, is a significant occasion to acknowledge the vital role family-owned businesses play in the economies of Australia, New Zealand and more broadly. These businesses are more than just economic engines; they are deeply woven into the fabric of our communities, shaping culture, identity, and local resilience. As a not only a family business owner but also as a specialist family business advisor, I have the privilege of working closely with many of these enterprises, witnessing firsthand their unique challenges and profound contributions.

Family businesses are the lifeblood of the global economies. In Australia alone, they represent around 70% of all businesses, contributing over 50% of GDP and employing more than half of the workforce. Similarly, in New Zealand, family businesses form a substantial part of the economy, particularly in key sectors such as agriculture, retail, and manufacturing. Their longevity, often spanning generations, provides a stable foundation for economic growth, innovation, and employment.

These enterprises, ranging from small boutique operations to large multinationals, offer more than just financial contributions. Their long-term focus enables them to weather economic storms more resiliently than many publicly traded companies. By prioritising legacy and sustainability over short-term profits, they foster stable, intergenerational wealth and provide opportunities for the next wave of entrepreneurs.

Family businesses are deeply embedded in the cultural and social landscapes of their local communities. Many operate within tight-knit regional areas where their presence offers more than just jobs. They become the pillars around which communities are built, providing support for local events, contributing to civic pride, and offering a sense of continuity in rapidly changing economic conditions.

One of the unique strengths of family businesses is their ability to foster a culture of trust and personal connection, both within the family and with their employees and customers. These businesses often prioritise relationships, fairness, and a sense of belonging—qualities that lead to strong employee loyalty and customer satisfaction. In fact, it’s not uncommon for generations of the same family to work for these businesses, creating an ingrained culture that reflects shared values and purpose.

In 2024, we face an era where technological innovation, sustainability, and inclusivity are no longer optional but necessary. Family businesses are uniquely positioned to bridge the gap between tradition and future-oriented strategies. They have the flexibility to adopt new technologies, reimagine their operations to be more eco-conscious, and continue fostering diversity, particularly when it comes to gender and leadership roles within the family structure.

As we celebrate National Family Business Day 2024, let’s not only recognise the economic importance of these enterprises but also their deeper role in shaping our communities, preserving cultural values, and nurturing innovation across generations. Family businesses are, and will continue to be, the heartbeat of Australia, New Zealand and global economic and social ecosystems.