fbpx
Potentash
  • Relationships
    • The Singlehood Series
    • Dating
    • Sex
    • Parenting
  • Lifestyle
    • Home
    • Food + Beverage
    • Fashion
  • Fiction
    • Short Stories & Poetry
  • Skin + Beauty
    • Skin
      • Skincare
    • Hair
      • Haircare
  • Wellness
    • Physical Health
    • Emotional Wellness
    • Mental Wellness
    • Social Wellness
    • Spiritual Wellness
  • Business
    • Business Finance
    • Personal Finance
    • Entrepreneurship
    • Investments
    • Personal Investments
  • Entertainment
No Result
View All Result
  • Login
Potentash
  • Relationships
    • The Singlehood Series
    • Dating
    • Sex
    • Parenting
  • Lifestyle
    • Home
    • Food + Beverage
    • Fashion
  • Fiction
    • Short Stories & Poetry
  • Skin + Beauty
    • Skin
      • Skincare
    • Hair
      • Haircare
  • Wellness
    • Physical Health
    • Emotional Wellness
    • Mental Wellness
    • Social Wellness
    • Spiritual Wellness
  • Business
    • Business Finance
    • Personal Finance
    • Entrepreneurship
    • Investments
    • Personal Investments
  • Entertainment
No Result
View All Result
  • Login
Potentash
No Result
View All Result
Image from: https://thinkbooks.ca/running-a-family-business-tips-that-can-save-you-drama/

Image from: https://thinkbooks.ca/running-a-family-business-tips-that-can-save-you-drama/

Tips On Running A Successful Family Business

Dennis Peters by Dennis Peters
December 18, 2018
in Running a Business
Reading Time: 4 mins read
26 2
1
34
SHARES
187
VIEWS
FacebookTwitterWhatsApp

Running a family business differs in a variety of ways in comparison to running a normal business. While it is relatively easy to quit a business or a job and move to other things, it is incredibly difficult to quit on a family. Business experts identify the key issue and the reason why some family businesses thrive while others fail to the proper management of the family part in the family business.

A family, just like any other relationship requires constant communication, respect and unity to succeed and it is not any different in a family business. Beyond that several things must be avoided such as over-promotion, overpayment and delayed retirement of family members. In the same way, family members cannot be underpromoted or underpaid for the mere fact that they are family. There are many tips on running a family business but to really make a successful family business, here are five things you would need to consider.

 

Image from: https://thinkbooks.ca/running-a-family-business-tips-that-can-save-you-drama/
  1. Communication

Every family has a way they communicate. It is fundamental that communication in a family business is productive and respectful. The idea is to practice transparency, build trust, determine and agree on family and business values, and understand the members’ goals and aspirations within and outside the family business. Finding solutions to persistent problems is key and if more complicated than that, external consultation should be considered.

  1. Evolution

This part applies to both family businesses and other businesses as well. Evolution, however, becomes very important in a family business when the family is multi-generational. A good example is when the older generation may fail to understand the purpose of new cultural and technological norms and in that way fail to match up to the competition in the market. To avoid the risk of alienation of customers and employees, a family must evolve and adapt.

  1. A Family Constitution.

Most governments globally provide the Memorandum of Understanding for businesses in their countries to manage how partners, employees and directors relate to each other. A family must, in the same way, develop their own constitution to include the family’s:-

  • Mission statement
  • Vision statements.
  • Values
  • Employment policy.
  • A sample of pre-nuptial agreements.
  • Strategies to develop the next generation.
  • Ownership policy.
  • Family bank and/or family venture capital funds.
  • Dividends and benefits policy.
  • Liquidity policy.
  • Who can be elected to the board of directors or join the advisory board? Business: Why Every Company Big Or Small Needs A Board Of Directors
  • Succession planning strategies.
  • Rules about the family council.
  • Information regarding the shareholder meetings.
  1. Recruitment Practices.

Businesses are always searching for gifted and skilled employees from all over and so should a family business. It should leave employee positions to non-family in order to carefully tap into the world of skills, technology and leadership. Family members can, therefore, focus on the upbringing and mentorship of the next generation.

Why A Recruitment Agency Is Important When Hiring For A Family Business

  1. Planning

A family business must possess the ability to look into the future and plan for it. It needs to have business succession plans long before the situation gets there. Ensuring the next generation stays empowered and motivated is a paramount task. Giving them the opportunity to discover, explore and experience their own decisions instead of a forced commitment to the business is vital. A good family business takes good care of the next generation from their most basic needs.

Indians have the most successful family business, here is why: 7 Lessons We Can Learn From How Indians Do Business.

Planning Succession In Family Businesses

What Must You Know When Starting a Business?

Why A Recruitment Agency Is Important When Hiring For A Family Business

 

Share14Tweet9SendShare2Pin3
Previous Post

Pearls And Heels: Odek Beth Amondi

Next Post

Viceroy Hosts An Exclusive Brandy Event For Consumers

Dennis Peters

Dennis Peters

I am a writer, editor, a digital storyteller and an explorer. I am one of the two contributors to the website https://dennispeters.blog. Wannabe novelist and often distracted by fiction that is laden in mystery and dark humour.

Next Post
Image from: https://allevents.in/johannesburg/makoya-mix-2016-auditions-east-rand-25th-june/1752443314993102

Viceroy Hosts An Exclusive Brandy Event For Consumers

Please login to join discussion

Recommended

Man Around Nairobi: Joel Chacha

August 2, 2017
649
no romance without finance

Single Lady In Nairobi: The Myth Of The 25-30 Year Old Independent Nairobi Woman

May 9, 2016
24.8k

Popular Stories

  • Men Share Worst Sugar Mummy Experiences [Canva]

    8 Men Share Their Worst Sugar Mummy Experiences

    39 shares
    Share 16 Tweet 10
  • My Boss Set Me Up With A Client Who Made My Life Hectic

    37 shares
    Share 15 Tweet 9
  • We Called Off Our Wedding At The Altar

    23 shares
    Share 9 Tweet 6
  • 6 Benefits Of Having Sex During Pregnancy

    19 shares
    Share 8 Tweet 5
  • The Singlehood Series: She Dated Him For His Family’s Wealth

    21 shares
    Share 8 Tweet 5

Potentash Blog

Potentash

Potentash is an award-winning lifestyle blog. We publish lifestyle content that intersects with health, women, beauty, travel, business, relationships, finances and entertainment.

Explore

  • The Singlehood Series
  • From Stairs To Ramps
  • Man Around Nairobi
  • Pearls And Heels
  • Personal Finance
  • Food + Beverage
  • Editor’s Pick
  • Reviews

Get the Potentash Newsletter

  • Ethics Statement
  • Terms & Conditions
  • Privacy Policy
  • Contact Us

Copyright © 2023. Potentash, In Partnership with Decima

  • Login
No Result
View All Result
  • Relationships
    • The Singlehood Series
    • Dating
    • Sex
    • Parenting
  • Lifestyle
    • Home
    • Food + Beverage
    • Fashion
  • Fiction
    • Short Stories & Poetry
  • Skin + Beauty
    • Skin
      • Skincare
    • Hair
      • Haircare
  • Wellness
    • Physical Health
    • Emotional Wellness
    • Mental Wellness
    • Social Wellness
    • Spiritual Wellness
  • Business
    • Business Finance
    • Personal Finance
    • Entrepreneurship
    • Investments
    • Personal Investments
  • Entertainment

Copyright © 2023. Potentash, In Partnership with Decima

Welcome Back!

Sign In with Linked In
OR

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In