UBS Investor Watch Report Reveals Entrepreneurialism Is Booming, But Millennials Are Reluctant to Jump In - Seite 2

“Selling a business successfully requires a great deal of planning, which owners often underestimate,” said Stewart Kesmodel, Head of Global Family Office, Americas for UBS Global Wealth Management. “Before pursuing a sale, it is important for business owners to not only have a view on the value of their business to potential buyers, but also an understanding of how that price applies to their personal needs post-transaction.”

Heirs are reluctant to take over the business

Among business owners who plan to sell but considered leaving the business to family members, 89% cite a lack of interest from their potential heirs as the main reason, while 21% felt that their family members were not qualified to take over the business. These would-be sellers also overwhelmingly agree that their children would rather inherit assets from the sale of the business (82%) than the business itself.

Business owners who do plan on passing their business on to family have concerns about their legacy. Most (57%) are concerned about their heirs taking the business in a different direction, and an equal number are worried that heirs might sell the business outside the family. Their biggest fear, however, is missing their role in the business (62%) after spending a lifetime building a successful enterprise.

Millennials see the appeal, but remain wary

Among those considering starting their own business, Millennials lead the pack, with 72% responding positively. However, there is a marked hesitation to make their dreams a reality and lay the necessary groundwork. In fact, 77% of Millennials think becoming a business owner is too risky, compared to 55% of Gen Xers and 43% of Boomers. Millennials also feel that the stress level of owning a business is too high (83%), while only 64% of Gen Xers and Boomers agree.

“Many Millennials joined the workforce in a tough job market, whether it was during the dot.com bubble burst of 2000 or the Great Recession of 2008,” stated Sameer Aurora, Head of Client Strategy for UBS Global Wealth Management. “These factors likely contribute to a more conservative outlook when it comes to business risk and can prompt many Millennials to seek job security in larger corporations as opposed to start-ups.”

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About UBS Investor Watch

UBS Wealth Management Americas surveys U.S. investors on a quarterly basis to keep a pulse on their needs, goals and concerns. After identifying several emerging trends in the survey data, UBS decided in 2012 to create the UBS Investor Watch to track, analyze and report the sentiment of affluent and high net worth investors. For more information on UBS Investor Watch, visit ubs.com/investorwatch.