Financing the Family Business: When Growth and Succession are at Issue

Financing the Family Business: Northeastern University
When Growth and Succession are at Issue

Family Business Quarterly
by Thomas M. O’Reilly

The following is a true story. The names and certain details, however, have been changed to ensure confidentiality.

In 1957, Stanley decided to go into business. With $10,000 of his own and another $10,000 from his brother Fred, he started a small parts supply company.

By 1994, Stanley’s company had become a thriving $33 million business with 15% annual growth. Fred, who still owned 50%, was not seriously active within it. He used the company as a place to launch various less-than-successful enterprises. He relied on the 50% split of company profits that Stanley had always given him to live on and to fuel his various undertakings. More…

Estate Planning: Hindsight and Foresight

Estate Planning: Hindsight and Foresight

Family Ink
Spring/Summer 1997

Estate planning can be both a gut wrenching and time consuming experience. You don’t sit down and do it. It takes time and professional assistance. It often requires some tough decisions, difficult choices, even coming face to face with one’s own vulnerabilities. Perhaps, that is why so many business owners, and particularly owners of family businesses, procrastinate. How well you plan, however, may well determine not only your future but that of the family and the familybusiness, members of the Family Business Forum were told during a recent seminar at theRothman Institute of Entrepreneurial Studies at Fairleigh Dickinson University. More…