A Business Owner’s Key Mistake– Failure to Organize & Plan

A Business Owner’s Key Mistake–
Failure to Organize & Plan

Family Ink
Summer 1996

by Donald J. Jonovic, Ph.D.

Think about these two statements I recently heard uttered by a business owner and his successor:

The Successor: “I can’t tell you where the days go. I’ve got a list of customers as long as my arm to keep in contact with, and I’ve been trying to make five cold calls a week. But production problems in the plant always keep me in the office on days I plan to make calls. I’m also writing a computer program for Dad to help handle quotes (which he’s way behind on, by the way), but I never seem to have enough time at the computer to make progress on it.”

The Boss: “He never makes sales calls. For that matter, he’s hardly ever out of the office. What I need is some help. I’m buried in unquoted jobs and he spends his time in front of his computer, on the phone with his girl, or gassing with the guys in the plant. Frankly, I don’t know what he does all day.” More…

Why Compensation for Family Members Should be at Market Value

Why Compensation for Family Members
Should be at Market Value

Family Ink
Summer 1996

by Bernard J. D’Avella, Jr., Esq.

One of the greatest struggles of operating a family business is separating the family from the business.Oh yes, there are many great benefits to having family in the business and to being a family member in a family business, but the most difficult problems result when “family values” and issues take over, leaving business values and needs wanting.There is no greater source for family business problems–nor more fertile ground for their cure–than the family business compensation system.

Starting with the premise that family members’ compensation should be a market value, let us look at the various considerations–often conflicting–in a family business, which will in turn demonstrate that this premise is correct. More…