A successful family business is like a successful sports team. Both compete using individual talent to implement strategies  to “win” a competition. Similarly, in business, like sports, one must learn the basic set of skills-the fundamentals-that are the foundation for success in either business or sports.

However, sometimes the fact that family members are involved in the family business makes achieving fundamentals for a successful business a challenge. Unfortunately unless families resolve certain fundamentals they are doomed to failure.

In a family business, ownership and all involved family members need to be on the same page with respect to certain key factors. These are as follows:

• Purpose. Why is the family in business together? (e.g. Dad built a successful business which has grown and is providing opportunities for employment and careers to family members).

• Goals. What is the family trying to accomplish? (e.g. the family takes pride in owning and operating the best company of its kind in a particular industry or the business facilitates the generation of wealth for the family to enjoy).

• Core values and Code of Conduct. What is the business DNA? What does the business stand for? What are the collective ethics of the business?  How are decisions made and execution of plans implemented? 

• Accountability. Who is involved, what is everyone’s respective roles and responsibilities? Who are the various family members accountable to for their activities? Who’s in charge?

• Metrics. How does the family measure success in its business? Is it profit? Quality of life? Productivity?

• Timeline. What time intervals apply to the above referenced factors? How much time is applied in measuring the achievements or work toward a particular goal(s)?

So, the above factors are the basic fundamentals that a family involved in a family business, whether large, medium or small in size must come into alignment on in order to “win” in their business arena.

Are you the owner of a family business and experiencing difficulties with building a strong business, involved in discourse with other family members or feeling like your efforts lack direction?

We can help.