Generational Shift

Problem

Lack of a suitable successor

60% of the Hungarian family businesses in the SME sector were established around the time of the regime change which means that the owners of these companies will retire soon or in the upcoming years. (The average age of the medium-sized and large business owners is even higher, it is above 65 years). According to studies, 39% (12-13.000 companies) of family businesses are affected by the challenge and problem of succession, which means they have 10 years to take care of the management and/or ownership handover of their businesses. However, 34% of these family businesses do not have a succession plan and 55% of them do not have a written succession strategy.

Lack of a suitable successor
Lack of a suitable successor

Solution

The KKVPRO generational shift programme is focused on family businesses in case of successor within the family cannot fulfilled. It supports the process of reselling the company in an organized way to internal or external business management or to investors to secure the productivity and continuation of the company. The program provides a solution for our partners in the form of co-funding to buy out family businesses. The main objective of generational shift programme is that these businesses should remain Hungarian-owned.