This archive report was first published on 16 October 2019.
Deloitte East Africa has launched the Deloitte Private Program, a new initiative aimed at supporting family-owned businesses and private companies in Kenya.
The program, which was launched on October 16, 2019, will offer a range of services including audit, tax, consulting, risk, and financial advisory services to Micro, Small, and Medium Enterprises (MSMEs) in Kenya.
According to Deloitte, more than 80 percent of businesses in Kenya are MSMEs, contributing about 33.8 percent of national output. However, most of these businesses remain informal and unlicensed, necessitating the need for a framework to connect them to the future.
Deloitte's Global Family Business Survey 2019, which interviewed 791 executives from 58 countries, highlighted the challenges and opportunities faced by family businesses. The survey found that succession is a major issue in family businesses, with 41 percent of executives expressing confidence in their plans for succession.
Ms Mabel Ndawula, Deloitte Private Africa Leader, noted that family-run businesses often prioritize short-term goals over long-term objectives, which can hinder their growth and success.
Deloitte East Africa CEO Joe Eshun said that Kenya is a resilient economy and East Africa's business hub, making it an ideal location to launch the program. The program will be rolled out to other countries in the region, including South Africa, Uganda, Ghana, and Angola.
Deloitte hopes that the Private Program will enable family businesses to sustain their core business over the next 10 to 20 years and achieve long-term success.
