A family-owned business is defined as any business in which two or more family members are involved, and the control of the business itself is held within the family. Ranging in size from the two-person mom-and-pop convenience store to Fortune 500 firms, the impact of the family business on the U.S. economy cannot be ignored.
According to the U.S. Census Bureau, there are 37 million businesses in the United States, and 32.4 million are family-owned, or 87 percent. Additionally, family businesses are responsible for employing 59 percent of the private sector workforce. This translates to 83.3 million jobs. In 2021, family businesses generated 54 percent of the private sector GDP (Gross Domestic Profit) or $7.7 trillion. Did that surprise you? It surprised me, too.