Request for Proposals - Britain’s Hidden Champions: the Social Effects of Family Mid-Sized Businesses
1. Overview
The Family Business Research Foundation (FBRF) invites proposals for research into the distinctive local social contributions of family-owned mid-sized businesses. This research will assess the value of family ownership as a model for place-based economic and social resilience, and will support policy debates about local economic development, business succession, and responsible capitalism.
2. Background
2.1 Hidden champions: mid-sized family firms
The experience of mid-sized family firms is an under-researched area within the family business field, yet they contribute significantly to the UK’s economy and have historically played an important role sustaining the livelihoods of communities right across the UK. According to Roper, “hidden champions” are “those mid-sized firms which are market leaders in their field, but which are not large enough to have become household names. Often privately held or family-owned, these are mature firms which adopt ‘super nichist’ strategies focusing on building market leadership within a narrowly defined but global market niche” (2013, p.2). One of their distinguishing features is that they employ locally and are deeply embedded in local economies: “[M]any Hidden Champions are key local employers in small towns or villages, creating a mutual inter-dependence between the business and its employees and other local SMEs through local supply chains” (Roper, 2013, p.2).
Mid-sized or ‘mid-market’ businesses (MSBs) have been defined mainly in two ways: in terms of turnover or number of employees. UK Government studies of MSBs have defined MSBs as having a sales turnover between £25 million and £500 million (Department of Business, Innovation and Skills, 2011, 2012). By contrast, “mid-market” firms have also been defined as those that employ between 50 and 499 people often in contrast to Small and Medium-sized Enterprises (SMEs) or large corporations (for example, Grant Thornton UK LLP, 2014). Other studies, however, include MSBs within the broader definition of SMEs (typically up to 249 employees). In this approach, MSBs are often defined as having 50 to 249 employees, with large firms defined as those with more than 250 employees (Braidford et al., 2014; Hart and Roper, 2022; Department for Business and Trade, 2024a).
Family-owned MSBs represent a significant portion of the UK economy, contributing to employment, turnover, GDP and the public finances (Cebr, 2025). A 2011 study noted that nearly half (46 per cent) of surveyed MSBs were defined as 'family' businesses (Department for Business, Innovation and Skills, 2011). In 2023, there were approximately 5.13 million family businesses in the UK, accounting for 93.2 per cent of all private sector firms. Of these, 1,054,680 had employees, and 21,193 were medium-sized (50-249 employees) (Cebr, 2025). Cebr estimated that 56.1 per cent of medium-sized firms (50-249 employees) and 29.7 per cent of large firms (250+ employees) were family businesses in 2023.
2.2 The social contribution of family businesses in the UK
Research by the Enterprise Research Centre (Universities of Warwick and Aston) draws attention to how family businesses often have goals that are “driven by complex socio-emotional preferences. This might involve them seeking to build strong, stable businesses to pass onto family members, being guided by loyalty or tradition, or investing in their local communities to achieve societal impact through their businesses” (2023, p.36). The FBRF report Family Businesses and Community Engagement employed case study methods to research how family firms engage with their communities (Glover and Trehan, 2020a). This was supplemented with a SOTA (State of the Art) review of the academic literature on the social contribution of family businesses in the UK (Glover and Trehan, 2020b). The study showed how family firms in the UK engage with their communities in a variety of ways, often driven by family values, local ties, and the adoption of a long-term orientation. For example, this can involve charitable donations and philanthropy; volunteering and community leadership; supporting young people; inclusive employment practices; participation in local economic and civic partnerships.
2.3 New avenues for research on the social impact of family business
There is a lack of understanding about social contribution and community impact. New research on the social impact of family firms should deepen and broaden understanding of how, why, and with what outcomes family businesses engage with society. This includes evaluating what works, what is scalable, and how impact can be measured in a way that respects the diversity and values of family firms.
While current research offers valuable insights into how family firms engage with their communities, the earlier work commissioned by the FBRF by Glover and Trehan highlights several gaps and future research directions that would help to advance understanding of the important social and economic roles that family businesses play within society.
Evaluating actual social impact
There is a clear need for research that moves beyond descriptive accounts of engagement to evaluating the actual, measurable social outcomes of family business activities. Most current evidence is anecdotal or qualitative; systematic approaches to tracking long-term community benefits—such as reductions in crime, improvements in youth outcomes, or enhanced local cohesion—are lacking.
Developing measurement frameworks
Glover and Trehan’s research on family firms and community engagement (Glover and Trehan, 2020a, 2020b) pointed to an absence of robust tools or methodologies for assessing and reporting social impact. Future work should focus on creating practical, scalable frameworks or metrics—possibly combining quantitative and qualitative approaches—to help family firms understand and communicate their social value.
Understanding variations by context
Further research is needed to explore how contextual factors—such as firm size, generational stage, location (urban vs rural), and sector—shape the scale, form, and effectiveness of community engagement. This includes comparing firms that engage formally (with CSR plans) versus those that contribute informally (e.g., via employment or local networks).
Linking economic and social contributions
Glover and Trehan’s work also highlighted the interdependence between the family businesses’ economic impact and the social roles they often perform. Future studies should investigate how activities like local employment, supply chain choices, and long-term presence in a region contribute to broader community resilience, identity, and sustainability.
Longitudinal studies of family firms and their relationship with their communities
There is a need for in-depth studies that can trace the evolution of family business-community relationships across time - especially through intergenerational transitions and in different settings. Historical methods have been used to understand ethical behaviour among UK family businesses (Wong et al., 2025). Further historical research is needed to understand how many multi-generational family businesses have co-evolved with and become embedded in specific places and local communities, and what happens when such businesses move out of family ownership.
The role of values and identity in business-owning families
In their SOTA review, Glover and Trehan (2020b) note that past research has predominantly focused on the business system aspect of social responsibility. This tends to overlook the orientation of the owning family toward the community and the interrelated social-economic connectedness between communities and businesses. Future research should examine how family values and business objectives intersect, particularly in terms of legacy goals, intergenerational value transmission, and how these shape the motivations for and forms that family firms’ social contributions take.
Delivering social impact through partnership working
Finally, future research could explore how family firms collaborate with charities, local government, schools, and business networks to deliver community impact. There is a growing interest in identifying effective partnership models and understanding the role of family firms in local civic and economic ecosystems.
3. About the research
We are especially interested in mid-sized family firms and their social impact, and in how family ownership influences a business’s social role and its social impact, and how communities are affected when that ownership model changes. We are currently seeking research proposals that seek to address the following research questions:
a. What is the distinctive social impact of mid-sized family firms on the communities in which they operate, and how does this influence community resilience, identity, and local well-being over time?
b. How do the values, governance structures, and long-term outlook of family ownership influence the social roles, responsibilities, and practices of mid-sized family firms?
c. How do transitions in ownership—from family to non-family or vice versa—affect the economic and social contributions of mid-sized [family] firms to their communities?
In addressing these questions, the research should seek to consider how contextual factors such as firm size, place, sector, generational stage shape the social priorities, impact, and role of midsized family firms. For example, how does social impact vary across urban vs. rural settings, or more and less economically deprived regions? What differences exist between generationally newer and older family firms in their approach to social value? How does firm size affect social impact and the capacity for social engagement?
We encourage proposals that use comparative case studies, mixed methods, or longitudinal approaches, and draw on examples where ownership transitions have already occurred. Studies should include perspectives from community stakeholders and employees, not just business owners.
4. Deliverables
Research report: A detailed report (40–60 pages) summarizing the findings, insights, and practice recommendations tailored to family firms.
Research and policy briefing: A short FBRF Research and Policy Briefing summarizing key findings, and practice, policy, and research recommendations.
Dissemination outputs (tbc): Infographics, or other materials for dissemination to stakeholders, including family business owners, advisers, policymakers, and researchers.
Presentation: at the FBRF conference or an alternative event to share learning among the UK family business research community.
5. Scope of work
Applicants are invited to submit proposals detailing how they will achieve the project objectives and deliverables. If this project is something that you might be interested in, then please submit a fully costed research proposal by email to us at: info@fbrf.org.uk
The deadline for submission is: Monday 14th July 2025
The proposal should be a maximum of 1,000 words in length (excluding CVs) and provide detail on each of the following elements:
a. Research questions and objectives: A clear outline of the research questions and objectives to be addressed.
b. Methodology: A description of the research methodology, design, methods, and evidence sources you will use to address these research questions. Please note that the FBRF adopts the European definition of family business. A firm, of any size, is defined as a family business, if
the majority of decision-making rights are in the possession of the natural person(s) who established the firm, or in the possession of the natural person(s) who have acquired the share capital of the firm, or in the possession of their spouses, parents, children or children’s direct heirs;
the majority of decision-making rights are indirect or direct;
at least one representative of the family or kin is formally involved in the governance of the firm; and
listed companies meet the definition of family enterprise if the person who established or acquired the firm (share capital) or their families or descendants possess 25 percent of the decision-making rights mandated by their share capital.
c. Timeline and milestones: The outline of a project plan, including key stages, milestones and deliverables.
d. Project outputs: Please outline how you would approach the project output(s) described above and indicate who will be responsible for writing up the analysis, their credentials, and their experience of writing research reports and/or practice guidance for business, policy, and practitioner audiences.
e. Dissemination and communications: Your ideas for communicating learning from the project, including an outline of how you propose to engage with family firms and work with the FBRF to disseminate the findings from the research.
f. Project team: Provide information on the project team, including roles, responsibilities, and relevant experience. CVs of members of the project team should be attached to your proposal, including details of any qualifications and experience relevant to the project. Applicants should indicate who will take the lead on the project.
g. Budget: Include a detailed budget with a breakdown of costs for staff time, expenses, and other project-related activities. Note that the FBRF is a charity and therefore does not cover indirect costs.
Proposals will be evaluated based on the following criteria:
Relevance and feasibility: Alignment with the project objectives and feasibility of the proposed approach.
Methodology: Robustness and appropriateness of the research design and methods.
Team expertise: Experience and qualifications of the project team.
Value for money: Realistic and cost-effective budget.
Impact and dissemination: Quality and reach of the dissemination and engagement.
6. About the Family Business Research Foundation
The FBRF is a registered charity since 2009 and was established to foster greater understanding of family firms and their contributions to the UK economy and society. The FBRF’s mission is to provide evidence-based research and practical guidance to support family businesses and inform policymaking. Click here for more information about the charity.
Contact Information: If you have any questions about the project or would like further information, please contact Dr Martin Kemp at info@fbrf.org.uk
We look forward to receiving your proposals and thank you for your interest in this project.
7. References
Braidford, P., Houston, M., Allinson, G. and Stone, I. (2014) Research into family businesses. BIS Research Paper Number 172. London: Department for Business, Innovation and Skills. Available at: https://assets.publishing.service.gov.uk/media/5a7e3b1ce5274a2e87db0659/bis-14-699-research-into-family-businesses-bis-research-paper-172.pdf (Accessed: 30 May 2025).
Centre for Economics and Business Research (Cebr) (2025) The state of the nation: The UK family business sector in 2023. London: Family Business Research Foundation. Available at: https://www.fbrf.org.uk/s/FB_RF_stateofthenation_2023_web.pdf (Accessed: 30 May 2025).
Department for Business and Trade (2024a) Business Population Estimates. London: DBT. Available at: www.gov.uk/government/collections/business-population-estimates (Accessed 13 June 2025).
Department for Business, Innovation and Skills (2011) Mid-sized business growth: Seizing the opportunity. BIS Research Paper 145. London: BIS. Available at: https://assets.publishing.service.gov.uk/media/5a790651ed915d07d35b444a/11-1409-research-mid-size-business-growth.pdf (Accessed 30 May 2025).
Department for Business, Innovation and Skills (2012) MSB demographics: Analysis of demographic characteristics of mid-sized businesses. London: BIS. Available at: https://www.gov.uk/government/statistics/msb-demographics (Accessed 13 June 2025).
Enterprise Research Centre (2023) The State of Small Business Britain 2023: A manifesto for small business growth and productivity. Coventry: ERC. Available at: https://www.enterpriseresearch.ac.uk/publications/the-state-of-small-business-britain-2023 (Accessed 13 June 2025).
Glover, J. and Trehan, K. (2020a) Family Businesses and Community Engagement. London: IFB Research Foundation. Available at: https://www.fbrf.org.uk/reports/family-business-community-engagement (Accessed 13 June 2025).
Glover, J. and Trehan, K. (2020b) What is the social-economic contribution of family firms in the UK? State of the Art Review No. 45. Coventry: ERC. Available at: https://www.enterpriseresearch.ac.uk/wp-content/uploads/2020/09/No45-What-is-the-social-economic-contribution-of-family-firms-in-the-UK-GloverTrehan-Revised-1.pdf (Accessed 13 June 2025).
Grant Thornton UK LLP (2014) Agents of growth: The power of mid-sized businesses. London: Grant Thornton. Available at: https://www.grantthornton.co.uk/globalassets/1.-member-firms/united-kingdom/pdf/publication/agents-of-growth-power-mid-sized-business-report.pdf (Accessed: 30 May 2025).
Hart, M. and Roper, S. (2022) The State of Small Business Britain 2022: From crisis to crisis. Coventry: Enterprise Research Centre. Available at: https://www.enterpriseresearch.ac.uk/publications/the-state-of-small-business-britain-2022-from-crisis-to-crisis/ (Accessed: 30 May 2025).
Roper, S. (2013) UK Mid-Market – ‘Overlooked Middle’ or Lair of the Hidden Champions? Coventry: ERC. Available at: https://www.enterpriseresearch.ac.uk/publications/uk-mid-market-overlooked-middle-lair-hidden-champions/ (Accessed 13 June 2025).
Wong, N.D., Smith, A., Discua Cruz, A., Burton, N. and Charalambous, E., (2025) ‘How do firms manage ethnically contested organisational paradoxes? Insights from two historical case studies of modern slavery’, Business History, ahead-of-print. DOI: https://doi.org/10.1080/00076791.2024.2442337 (Accessed 23 May 2025).