The Secrets Of The Oldest Companies In The World

A list of companies that, despite their age, are still thriving – and why

Photo by Kenshi Kingami on UnSplash

It’s tough to create a successful business. Less than one-fifth of company startups survive over the long term, and even more shockingly, only about 0.5% of businesses running today will make it to 100 years of operation or more. So how do some companies thrive for decades – or even centuries?

James Dooley, an investor and partner in Searcharoo, takes us on a world tour of the oldest companies still operating today and discovers why they are flourishing where so many others have failed.

Kongō Gumi

First on the list is the construction company, Kongō Gumi, founded in 578. Its first project was building the famous Shitennō-ji temple, which still stands today and is one of Osaka’s most important Buddhist temples. The company was also involved in constructing the well-known Osaka Castle. Kongō Gumi focuses mainly on building and maintaining shrines, temples, and cultural heritage buildings. Kongō Gumi has flourished for so many years – well over a millennia – as for over 1,400 it was owned and run by the same family.

Nishiyama Onsen Keiunkan

According to the Guinness Book of Records, this hotel is the oldest in the world. Located in Yamanashi Prefecture, Japan, the Nishiyama Onsen Keiunkan Hotel is a hot spring hotel nestled in the foothills of the mountains, around a 3-hour drive from central Tokyo. The hotel is now 1,319 years old and as popular as ever. Until 2017, the hotel was continuously operated, across 52 generations, by one family.

Koman

Koman is a fine example of a ryokan – a traditional Japanese inn. Private rooms are constructed of tatami-matted floors, and there are communal areas for guests to sit and talk, as well as communal baths. Sennen no Yu Koman was founded in 717 and is Japan’s second oldest hotel. Koman is another hotel with a long history of family ownership, over 47 generations beyond its original founder, Hiuke Gonnokami.

Stiftskeller St. Peter

The honor of being the oldest company in the world outside of Japan goes to Stiftskeller St. Peter, a restaurant located within the walls of St Peter’s Abbey in Salzburg. This makes it the oldest restaurant in the world and the oldest inn in central Europe. Notable guests of the inn include Mozart, Johann Faust, and even Christopher Columbus. Being located within the walls of the Abbey, it was previously the guesthouse of the Benedictine monks, who kept the inn running for many years.

Staffelter Hoff

This family-run guest house is also a winery and distillery and has been based in the small German town of Kröv since the year 862. It was initially a wine-producing abbey, with lands donated to it from the Carolingian dynasty. When the abbey lands were sold, they were bought by the ancestors of the same family who still run the business to this day. It is the oldest winery in the world, and has been kept running in the modern era as a family business since 1805.

The Royal Mint

The Royal Mint is responsible for producing all legal coins for the United Kingdom and, as such, is wholly owned by the Treasury. Although now based in south Wales, it was originally housed in the Tower of London for several hundred years. Recently, it has diversified its business to become a leading provider of various precious metals. Its long history of success can be attributed to it, in the past, being the only mint for the crown, while its continuance in the modern world is guaranteed by its willingness to expand its operations.

The Staying Power Of Family Businesses

‘It is no coincidence that eight of the ten companies which have stood the test of time are family-run businesses,’ James says. ‘Historically, businesses handed down within the family from generation to generation survive longer. This is because there is more at stake than just pleasing shareholders – there is also tradition, family values, and pride.’

James continues, ‘Family businesses worldwide are run with the long-term future in mind, and this influences their decision-making. Of course, these businesses adapt as and when they need to, but they tend to have a much stronger respect for the traditions and core values that made them successful in the first place.’