Whether you are the first-generation founder of a family business, or its second- or third-generation leader, your focus may be on the singular goal of achieving success of the business. But for a successful multi-generational business a broader view is needed.
The most critical issues facing family businesses are family-based
rather than business-based.
For long-term success the family must be able to develop and grow in the context of the leadership of the next-generation.
“Building a family business that continues
takes ongoing dialogue across generations
about their vision for the company.”
What conditions exist when a family business is prosperous?
- Clearly established policies with regard to hiring family members are recognized and known to both family members and non-family managers.
- The successor leads from a place of knowing and loving the business.
- Succession planning is begun early, and openly discussed.
- Family wealth and prosperity increases from one generation to the next
- The successor has the respect of family members as well as non-family employees.
- Respect and appreciation exists among family members and non-family employees.