Two Central Valley family-owned businesses have joined the Family Business Association of California, the state’s only organization devoted exclusively advocating on behalf of family businesses.
Julius Clothing of Sacramento was founded in 1922 by Julius Anapolsky and the third-generation owner now is Bruce Anapolsky. The company retails high-end men’s and women’s clothing by such designers as Armani, Ermenegildo Zegna, and Elie Tahari, as well as custom-made suits. The firm is located in Sacramento’s Pavilions Shopping Center.
Hogan Manufacturing, a steel manufacturing fabricator based in Escalon, was founded in 1944 by Walter F. Hogan, Sr., as California Blowpipe and Steel Co. and is now run by the third and fourth generations of the Hogan family. The company has 160 employees and reports sales in excess of $50 million a year. Its LIFTU division has built and installed more than 40,000 heavy-duty transit lifts in more than 500 cities throughout the U.S. and Canada.
“These companies have the foresight to support our efforts at the Capitol,” said Robert Rivinius, FBA’s Executive Director. “Unfortunately, only about 30 percent of family businesses survive into the second generation, 12 percent to the third and just 3 percent to the fourth generation and beyond. And policies being proposed and enacted in Sacramento make it harder and harder for family businesses to remain family-owned. FBA was founded to be an aggressive advocate for family businesses and we’re extremely pleased that these two companies have joined.”
As an example of the obstacles family businesses face, legislation was recently introduced that would create a new California estate tax to replace the federal tax being considered for elimination. Estate taxes are one of the biggest obstacles in allowing businesses to remain family-owned from one generation to the next.