Family-owned business backbone of America

During the 1992 presidential campaign, then-candidate Bill Clinton famously intoned, “I feel your pain,” reassuring voters he understood what they were going through. Since then, similar statements of empathy have become a staple for politicians. But it doesn’t always ring true for every constituent.

Take family business owners, for example.

Family businesses account for 50 percent of U.S. gross domestic product, generate 60 percent of the country’s employment, and account for 78 percent of all new job creation, the Conway Center for Family-owned Business reports.

Most elected officials have no idea what it’s like to put their life savings on the line 12 to 16 hours a day, scrambling to make ends meet. Those families risk everything to meet payroll and invest in new equipment for state-of-the art facilities in spite of waves of new government regulations, taxes and fees.

One politician who got that first-hand experience was former U.S. Senator and presidential candidate George McGovern (D).

In a 1992 Wall Street Journal column, “A Politician’s Dream is a Businessman’s Nightmare,” McGovern described his experience running a Connecticut hotel and conference center. He ultimately went bankrupt, a failure he attributed in large part to local, state and federal regulations that were passed with good intentions, but no understanding of how they burdened small business owners.

Deeply affected by his failure, McGovern became an advocate for regulatory reform and lawsuit reform, saying, “I … wish that during the years I was in public office, I had had this firsthand experience about the difficulties business people face every day.”

While politicians often tout their support for family-owned business, they are the least understood and most overlooked political constituency.

Family-owned businesses are America’s economic backbone.

According to the University of Vermont, there are 5.5 million family-owned businesses in America. Nearly 60 percent of all family-owned businesses have women in top management.

More than 30 percent of all family-owned businesses survive into the second generation but only 12 percent will still be viable into the third generation.

One third generation Washington family thriving is Dick Hannah Dealerships in Vancouver. It started in 1949 when William Hannah opened a Studebaker dealership.

In 70 years the Hannah’s have taken calculated risks by expanding into multiple new and previously owned car and trucks dealerships in the Vancouver-Portland region. In addition, Dick Hannah added injection molding manufacturing of auto parts and auto body repairs.

With his son, Jason, and daughter, Jennifer, they just opened a multi-million dollar state-of-the art collision center in Vancouver. It is well organized, clean, clutter free, efficient and customer friendly. All estimates, work and deliveries are handled inside the 80,000-square-foot facility.

For environmental and worker protection, it has advanced dust and fast-drying spray paint systems which treat water and air before leaving the shop. There is a sophisticated vacuum system which collects dust which would normally end up on the floor.

The collision center is unique for its new ways of approaching repairs. Vehicles are elevated waist high to avoid workers having crawl underneath. All of the services are contained within the shop avoiding time delays by sending autos off-site for steering alignment and windshield replacement.

Finally, before exiting the center, technicians restore vehicles to their pre-collision condition. They completely reinstate and calibrate the crash avoidance and in-car electronics.

Just as Hannah strives to completely satisfy customers so they will return, that is the hallmark of successful businesses. That’s one way small family-owned business compete with large corporations and their vast resources.

In the end, if customers feel valued and are treated right, they return. Those are values which entrepreneurs, not government, create but which elected officials can hamper if not understood.

Don C. Brunell is a business analyst, writer and columnist. He retired as president of the Association of Washington Business, the state’s oldest and largest business organization, and now lives in Vancouver. He can be contacted at theBrunells@msn.com.

More in Opinion

Tribes outraged by EPA move to roll back improved water quality standards

Treaty Indian tribes in Western Washington are outraged that the Environmental Protection… Continue reading

Dozen advisory measures on the ballot will tax voters’ attention

OLYMPIA – If you’ve lost count of how many new and higher… Continue reading

Publisher’s decision to limit e-book access is bad news for library patrons

A recent decision by a book publisher to limit public libraries’ access… Continue reading

State’s new voting system passes key test

Whew. Tuesday’s primary marked the electoral debut of VoteWa, and the sparkling… Continue reading

Careful not to follow Sweden’s haste | Brunell

Sweden and Washington state are very similar. Both have strong “green” movements… Continue reading

Nothing cheesy: Apollo missions brought us more than just the moon

America needed something to bring people together. Apollo 11 accomplished that.

2020 Census and the importance of being counted

Census affects everything from government representation to federal funding.

Recycling right in Auburn

Waste Management Recycle Corps interns on the job help us build recycling muscle memory

China’s mighty migrating mandate

Country has to get serious about its trash problem as its fast-paced economy expands

KCLS forges partnerships for broader public benefit

The King County Library System strives to create meaningful partnerships with other… Continue reading

Yes, Virginia, lawmakers did raise a lot of fees and taxes

They passed 51 bills to bring in more money. Democrats pushed major tax hikes past a resistant GOP.

COURTESY, Emma Epperly, WNPA Olympia News Bureau
This year’s biggest election for Democrats isn’t on the ballot

Four women are vying to become the next House speaker. The Democratic caucus will decide in July.