A succession strategy to keep local businesses in San Francisco
Watch the webinar: A succession strategy to keep local businesses in San Francisco
Recorded on: Wednesday, November 18, 2020
Project Equity, in association with the City of San Francisco Office of Economic and Workforce Development and San Francisco’s Small Business Development Center, invited San Francisco business owners to a webinar to learn how employee ownership is a succession strategy to consider.
Local business is at the heart of every community in San Francisco and these businesses are facing tremendous challenges today and are uncertain about what tomorrow may bring. Locally owned businesses circulate three times more money back into the local economy than absentee-owned firms or chain businesses. And local businesses are based on local relationships, fostering trust and civic engagement.
COVID-19 has negatively impacted many small businesses in San Francisco. These COVID-related challenges are layered on top of an ownership succession crisis that was already unfolding in San Francisco because retiring baby boomers (those born between 1946-1964) own nearly half of all small businesses. Statistics show that six out of 10 will try to sell their business in the coming decade, and many won’t find buyers.
In this webinar, we heard from about the benefits of employee ownership from Donna Sky and Miyaka Cochrane from Project Equity.
Employee ownership increases engagement, dedication and ingenuity, which are key to business success, especially during this uncertain time.
Employee Ownership Provides Many Benefits to the Business and the Owner
- Preserves legacy in the community
- Provides fair sales price
- Owner can stay involved if desired following the sale
- Creates more worker stability and lowers turnover
- Grows employee engagement and productivity
2021 is a new year, and a great time to make a resolution to focus on succession planning.
Employee-owned companies have protected their workers’ jobs four times better than other firms and suffered fewer cuts to hours and pay during the COVID-19 pandemic, according to a new study.
On December 2, 2020, the Employee Ownership Expansion Network (EOX) and Project Equity announced their new partnership designed to amplify employee ownership models as ways to preserve small businesses, strengthen jobs and communities and address the acute need for local economic resiliency.
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