Here are some common questions our clients ask. While we can't answer all questions due to the large volume of mail, we will post answers to questions that we think will have broad based interest. Submit your questions by clicking here
Questions (click for the answers)
- What is a Family Council, and why do I need one?
- As a Woman, Do I stand a chance to run our family business?
- How can I prevent my children from being spoiled by the affluence created by a successful family business?
Answers:
What is a Family Council and why do I need one?
A Family Business Council is a place where family can address challenges and opportunities of family members who are stakeholders in
the family business. The composition of the council will vary depending on the wishes of the family leadership. Councils may
include only family members working in the business or extended families including children.
To succeed, a Family Business Council needs open communication and candor. This is where Family Issues related to the business
get communicated and discussed. The purpose is to have a forum to air issues rather then allowing them to surface in the business
or go unattended and create unspoken animosities and friction. Many families poorly differentiate business and personal issues
allowing family matters to enter the business and vice versa. A good council will manage many of these matters which, if done well,
will allow a more effective business environment.
If you are uncertain of how to start a council or how to open up communication in your family you may want to consider a facilitator
to initiate your Family Council.
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As a Woman, Do I stand a chance to run our family business?
There are more than 9 million women-owned businesses in the USA who employ over 27 million workers. Women are finding themselves in the position of being able to take over and run the Family Business. They have the capability, the education, the desire and the loyalty to continue the legacy. In order to make this a true possibility I encourage my aspiring woman heroes to
- Choose a mentor who is not a family member
- Make sure that there is a planned development program for you
- With succession in mind it is imperative to attain some core leadership values
- Make sure that senior employees and family members evaluate your progress
- Become a strategic thinking
- Through clarity and simplicty become a good communicator and an effective listener
- Become a Team Builder and learn to delegate effectively
- Be prepared to be open to Growth & Change
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How can I prevent my children from being spoiled by affluence created by a successful family business?
Many children from affluent homes have healthy values. The critical question is what are some of the differentiations that
influence healthy from unhealthy values. Most parents are concerned that their children will lack motivation, humility or
compassion for others who are less fortunate. Growing up in affluence will create lifestyle expectations, but it will not
necessarily "spoil" children's values.
There are many approaches to transferring strong core values to children. One approach that we like is Roots and Wings. Roots is
embedded in the history of the family, family business, how the business was started, core values, strategic initiatives,
hardships and appreciation for the support the company got from the community, employees and others.
Wings is the obligation for each generation to leave their mark; to improve what previous generations had started. One concept
that is useful here is that of Stewardship. Each generation will transfer the family business to the next generation. As a
steward you are captain of a ship, willing to battle storms, winds and isolation as you maneuver the ship toward its destination,
knowing that you will never pull into port. The best you can hope for is to hand the ship over to another able captain who is
prepared for the same journey.
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