The latest sentiment among family-owned enterprises shows a cautious improvement in their outlook. An interactive survey conducted by the Family Business Institute reveals a score of 5.03 on a 0 to 9 scale, reflecting a steadier mood among roughly 500 business leaders attending the annual congress in Bilbao. This marks a rise from last year, when the same group logged 4.59 points during the Cáceres meeting. It’s worth noting that the all‑time high, back in 2017, reached 6.22. The current reading suggests a softer yet constructive start to the new year for many family businesses in North America and beyond.
Across the board, respondents present a mixed forecast for the economy. About 55 percent anticipate weak growth, a slight improvement from 58 percent the previous year, with 53 percent expecting to keep their current employee levels next year. Meanwhile, 37 percent plan to add staff, while 14 percent expect to cut payroll. When considering overall activity, roughly half of the participants intend to boost sales, 36 percent plan continued growth, and 14 percent foresee a reduction in sales. These figures illustrate a market in which expansion remains possible, but with careful attention to demand and productivity.
As the political landscape evolves and a new government lineup takes shape, the focus on policy priorities remains sharp. When asked about the two most important priorities for the incoming executive, the participants highlighted institutional stability as the top choice, followed closely by education policy and the management of public finances, including deficit containment and debt control. The survey’s opening remarks behind this ranking were delivered by the president of the Family Business Institute, who emphasized that stability and prudent fiscal management stand as the foundation for sustainable growth. The timing of such priorities aligns with the broader concerns of family-owned firms striving to preserve continuity while navigating regulatory and macroeconomic pressures.
Family business plans to review salaries to attract talent
The dialogue around talent retention also reveals notable hiring challenges. A significant share of respondents reported finding it very difficult to locate professionals with the right skill sets, while an even larger portion described the search as quite difficult. This talent gap underscores the importance of competitive compensation and strategic benefits in attracting skilled workers who can contribute to long-term success in family enterprises.
When asked to identify two effective strategies for attracting and retaining talent, a majority favored flexible policies and remote work options as a means to broaden the talent pool. In addition, economic incentives remain a key driver, with more than half of respondents indicating that competitive pay and benefits are crucial for drawing top candidates. The combination of flexible work arrangements and meaningful compensation structures appears to be a practical approach for family businesses seeking to strengthen their teams while sustaining a balanced work culture.