Standard Bank BCB: Fostering multigenerational family businesses

Family-owned businesses have long been the backbone of South Africa's economy, playing a crucial role in driving growth and employment opportunities. According to Jenine Zachar, Head Of Value Propositions and Client Experience at Standard Bank Business and Commercial Banking, these businesses contribute significantly to the country's GDP, with estimates ranging from 20 to 30%. Additionally, around 60% of the businesses listed on the Johannesburg Stock Exchange have roots in multi-generational family businesses, highlighting their enduring impact on the economy. Notably, these family-owned businesses are responsible for employing approximately 60% of South Africa's workforce, underscoring their importance in driving job creation and economic development. Despite their historical significance, family-owned businesses face challenges in adapting to changing market dynamics and modernizing their structures to remain competitive. The transformation from traditional business models to more flexible and scalable structures is essential for these businesses to thrive in an evolving business landscape. Jenine emphasizes the importance of innovation and adaptability as key drivers of success for family-owned businesses, enabling them to navigate complex challenges and seize new opportunities. Standard Bank plays a pivotal role in supporting family-owned businesses at every stage of their growth journey, providing a range of financial solutions and expertise. With decades of experience in working with businesses of all sizes, including complex family-owned enterprises, Standard Bank offers tailored advisory services and innovative banking solutions to help family businesses scale and protect their wealth. Leveraging its trans-regional expertise, Standard Bank operates across 15 additional countries in Africa, positioning itself to support clients in expanding their businesses beyond borders. The bank's offshore capabilities and specialized banking solutions facilitate international trade and partnerships, enabling family-owned businesses to access new markets and opportunities. Furthermore, Standard Bank's corporate advisory services assist businesses in structuring debt and securing capital for growth, addressing key challenges around capital structures and business corporatization. Looking ahead, the focus will be on understanding family-owned businesses' capital needs and expansion strategies to drive sustainable growth and success. As family-owned businesses continue to play a vital role in South Africa's economy, partnerships with financial institutions like Standard Bank will be crucial in fostering their long-term success and resilience in an increasingly competitive business environment.