Running a family business can be a delicate affair. The boundaries that exist in standard corporate environments have been eroded over the years by normal sibling rivalries, family history, perceived favouritisms, enduring memories and the complexities of blood relationships. The family businesses which succeed are the ones which learn to rise above these and focus on the outcome which is beneficial to all
Advisory Partners has two accredited Family Business Advisors who are each from a family business background. Tahlia and Matt are skilled at –
- Facilitating dispute resolutions,
- Succession planning, (See below)
- Establishing an amicable and effective management structure
- Creating and participating on effective Advisory Boards
- Overcoming generational issues
- Introducing a corporate governance regime
- Each intrinsically understands that, while emotions will always play a part, the success of the business needs to be based on rational decisions founded in logic
Family Business Succession Planning
Family business succession failure rate is approx. 70%. Of those that fail:
- 60% breakdown of communication and trust within the family
- 25% inadequate preparation from the previous owners or simply ‘letting go’
- 3% Errors made by advisors
- Balance is made up of other events and circumstances in particular partners having influence directly or indirectly
Source: “preparing the Heirs”, 2003, Williams & Preisser
Family businesses often require independent oversight to gently say the things that need to be said. Call to learn how Tahlia and Matt can provide this guidance to your family business so you can rest easy and maintain healthy family relationships.
