There is no question that Malta’s family businesses are the backbone of the country’s economy, with many lasting for decades as the businesses is entrusted to the next generation.
Whether these family enterprises continue to develop and grow or retain a narrow focus on the traditional business is a different thing entirely, with diversification, as in any other endeavour, typically being a good indicator that the family is dynamic enough to remain successful even without the efforts of that first generation.
Burmarrad Group exemplifies the bold choices the new generation often needs to take to continue delivering growth, evolving in tandem with the market and the company’s position within it.
Delving into the dynamics of running a successful business into its second generation, Burmarrad Group Director Mario Gauci Jnr says that careful succession planning and the inclusion of external consultants helped the internal governance structures to evolve in line with its expansion.
“The consistent growth experienced by our group over the years can be attributed to a unique blend of factors,” he says. “Anchored by the entrepreneurial vision of our founder, Mario Gauci Snr, and fortified by a board of directors with a shared sense of purpose, our growth is characterised by the integration of our founding values and a forward-thinking, professional outlook.”
Indeed, he notes that “whilst we are proud of our family-centric roots, we maintain a strategic vision for our business.”
It is then no surprise that the company promotes a strong sense of belonging, fostering a positive and productive work culture that encourages everyone to give their best.
“Our people are the very core of the Burmarrad Group success story, and contribute significantly to our achievements through their dedication, skills, and shared commitment to our values,” he says.
The group’s recent relocation to the Marsa Industrial Estate has allowed it to substantially expand its clientele and unlock new avenues for growth. Mr Gauci notes that “by providing a suite of services and establishing a more central location, we have successfully addressed a broader spectrum of needs within our industry.”
He says that the reception to the move has been “incredibly positive”, with clients expressing positive feedback for the convenience of accessing comprehensive solutions all under one roof.
Mr Gauci makes it clear that Burmarrad Group goes beyond simply purchasing and leasing vehicles. Rather, it adds real value by providing all after-sales services in-house, streamlining the entire vehicle management process as part of its client-focused strategy.
He describes the company as “a pioneer” in the industry, and “the go-to solution provider for all vehicle categories,” highlighting the advantages of leasing, including flexibility, cost-effectiveness, and a tailored, hassle-free solution for clients.
The move to Marsa also enabled strategic investments in new technologies and process improvements, optimising service delivery and positioning the company at the forefront of industry advancements.
Among these improvements is a steady electrification of its fleet of vehicles as Burmarrad Group responds strategically to the electrification of mobility.
“While recognising this momentum, especially in the business-to-business (B2B) leasing sector, the group is mindful of the gradual nature of EV adoption,” says Mr Gauci. “Factors such as infrastructure development, cost, and industry readiness influence the pace of uptake.”
Despite the gradual transition, Burmarrad Group remains optimistic about the promising future of EVs, with Mr Gauci explaining that the group is well-prepared and actively considering the integration of EVs into its leasing offerings in alignment with the broader industry direction toward sustainable transportation solutions for the company and its clients.
Another way the group has sought to diversify its mobility business is through the recent introduction of the Enterprise Rent-a-car brand: “By working with Enterprise Holdings, the world's largest vehicle rental company, we are now able to cater for the inbound tourist market,” says the Director.
“As an established and trusted brand in Malta, we have been chosen to represent and operate this global franchise, which includes Enterprise, Alamo, and National,” hey says, pointing out that Enterprise stood out in recent years as the globally voted number one brand, with the latest award coming in 2023 when it was voted the Best Rental Company.
“Despite launching during the challenging times of the pandemic, which saw the closure of the airport, our belief in this investment has proven to be well-founded. We are now experiencing positive growth, establishing the Enterprise brand as a major player on the island.”
The decision to enter the rent-a-car market not only broadens Burmarrad Group’s market reach but also unlocks economies of scale, leveraging the group's extensive knowledge and expertise to efficiently operate, maintain, and service the fleet.
The Burmarrad Group Facility
Having completed the transition of operations to Marsa, the Burmarrad site is now slated for commercial development, and Mr Gauci says the family is “extremely excited” for what lies ahead, expressing confidence that “together with our partners, the development will be an incredible success story.
“Having served as both our home and place of work for over 40, years, the property is of significant sentimental value for our family,” he says.
The proposed sustainable development aims to regenerate the former industrial area into a vibrant location, and is designed to “meet the rising demand for retail and entertainment venues in the northern part of the island.”
The project, he continues, is aligned with the market sentiment for quality-driven developments, serving to highlight the “meticulous planning and deep-rooted understanding of market dynamics” that drove the group’s strategic positioning in the commercial real estate sector.
“We are confident that the group’s real estate pillar will continue to provide significant incremental shareholder value in the years ahead,” he says.
Asked about Burmarrad Group’s next steps, Mr Gauci says it aims to explore new sectors aligned with its core competencies whilst expanding its already diverse portfolio as part of a future vision “revolving around sustained growth with an emphasis on diversification and innovation.”
Accordingly, and crucially, AI technology has already been identified as a possible solution to enhance the customer experience and staying at the forefront of an increasingly digital-driven business environment.
However, human talent development will continue to take precedence, “with initiatives aimed at attracting, nurturing, and retaining top-tier talent through training and fostering a culture of innovation throughout the group.”
Finally, sustainability is also an enduring cornerstone the application of which extends beyond compliance to integrate environmentally conscious practices, says Mr Gauci. In fact, in the property sector, Burmarrad Group will focus on sustainable real estate ventures, contributing positively to the evolution of urban living in Malta.
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