“you can pick your friends, but you can’t pick your family…”
As founder you have done all the right things to pass the business along to your children. You have prepared a succession plan, setup your estate plan, dealt with the ego issues of letting go of your responsibility and giving up control. You have even planned for retirement and life after the business.
Problem is, the children aren’t ready. All of this planning is wasted if your successors aren’t in position to take over. More…
Admit it. Don’t you enjoy reading about family business scandals?
It makes your family business seem more normal. You’re not alone. The most popular category of articles on Fambiz are about conflicts and family scandals.
Virtually every family business scandal originates from some form of conflict; sibling rivalry, compensation, favoritism.
In our family business conflict didn’t exist between family members. We were fortunate. Where conflict did come into play was when the company began to grow rapidly and we began to professionalize the business. This brought up contentious issues like how fast to grow, hiring non-family talent, changes in roles and corporate culture. The difference was these issues were business-related and weren’t personal.
Conflict is usually dormant in the early years of a family business, but often gets uncovered when a business is getting ready to transfer to the next generation. More…