“Tapping outside expertise can keep a business ready for the next phase of succession,” says Eddie Weinstein, the charismatic leader of Globe Electric Inc. In an interview with PROFIT Magazine, Eddie says, “It has to come down to putting the best management in place - it may not be a son or daughter, I hate to think about that, but that’s reality.”

The recent subprime crisis and the current tightening of credit markets have had an increasingly negative affect on the productivity of banks, large credit and insurance companies. Surprisingly, this setback does not appear to have quelled private equity investor interest. Availability of capital certainly is not a problem, as 48% of investors plan to increase exposure to private equity.

Though 90% of all businesses in the United States are family owned, 30% do not reach the second generation. The lure of buyouts and the issue of succession are frustrating many business owners’ aspirations of a legacy. Surprisingly, the answer to a family business lasting into posterity may lie outside of the family. Businesses opt to retain ownership and bring in equity partners to implement growth initiatives.

“My Grandfather would be proud to see where his business is going,” says Patrick Bermingham, President of Bermingham Construction Ltd., which was established in 1897. Recently, the company sought growth financing from the private equity market and Patrick has been pleased with the results.

In their nascence, all great businesses are given life in a similar way: from an idea grows ambition and from ambition, industry. However, some owners never overcome the tag of "Small Business"; they remain restless in a basement office with their one, lonely employee while their ambition fades. According to Jacoline Loewen in an article in Women’s Post the few that do emerge from obscurity possess a necessary and rare combination to make their vision a reality.