Jamie Dimon warned the American Dream is slipping; JPMorgan now flags a new risk
JPMorgan Chase CEO Jamie Dimon warned that the American Dream is slipping, and the bank now highlights a specific problem: millions of aging small-business owners are approaching retirement without clear succession plans. This issue could lead to 12 million businesses, representing nearly $10 trillion in assets, changing hands or closing over the next decade, a phenomenon dubbed the 'Silver Tsunami'.
Why it matters
This lack of succession planning poses a significant economic risk, potentially leading to widespread small business failures, job losses, and instability, particularly in sectors critical to national security, impacting local communities and the broader economy.
JPMorgan Chase CEO Jamie Dimon warned that “the American Dream is alive, but it’s slipping out of reach for too many people—and for future generations,” in March. Six months later, the bank is now pointing to a specific problem that could make that warning more tangible. The biggest bank of America now claims that millions of ageing small-business owners are approaching retirement without a clear plan for what happens to the companies they built.JPMorganChase’s new report, “Powering 10 Million Small Businesses,” estimates that roughly 12 million businesses representing nearly $10 trillion in assets could change hands over the next decade. Yet of the 1,000 business owners JP Morgan surveyed, only 8% said they had reached an advanced stage of succession planning.Millions of small businesses face a succession problemThe gap between the intention to do succession planning and readiness for it is rather significant.
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