Answers
FAQ
Main situations where we can be of help.
1. Is the family structure becoming too complex to make it difficult to implement the decision-making process?
2. Are there many members of the next generation interested in joining the family business? What should be the criteria for a fair and productive choice? Given the diversity of the profiles of these next generation family members, should all of them be considered for the same position? What to do with those who want to leave or are not willing to join the firm?
3. Are marriages, divorces, etc. becoming more complex and generating conflicts in the family? How am I going to reduce the attrition potential with the “new” members of the family?
4. How should intra-family communication (about family and/or business issues) be handled inside and outside the core family (and/or the business) limits?
5. Is the admission process of family members into the business a random one or do we have rules and processes for this?
6. What should I prioritize: the family approach or the business approach?
7. How should I proceed with the succession planning process in my company? When should I start? And why should I bother?
8. How should the family proceed why the sale of an important and/or meaningful asset (or the company itself)? What is the correct way? Or the fairest way?
9. When new business partners are hired, how should they be treated? What is the appropriate procedure, and which rules should be applied?
10. Are all members of the family aware of the family’s participation in the company and the family wealth? Do they know who is managing the assets? And how? Do they know what the investment (and spending) policies of the family are? Does the family need those?
11. How should I manage my financial assets?
12. Are the family inheritance rights (and rules) clear to everybody?
13. Is the distribution of family member remuneration (dividends for example) done in a proper predefined way or is it it’s done ‘ad hoc’, according to the individual need or according to the company’s situation?
These are only some selected reasons why family-owned companies look for our advice. In addition, we can help them in several other situations, such as:
- How to structure a balanced hiring process between family members and external professional managers. Are both groups aligned?
- How can professional conflicts among family members influence their relationship outside of their professional setting?
- Is there a clear decision-making process that indicates investments’ need in the company?
- How should the family proceed in the case of the sale of a family asset in order for this process to be fair?
- Should all family members be aware of their wealth? And their respective business participation?
- Which investment and spending policies should be considered?
- How should I manage my financial assets?
- What are the risks to family members in the case their rights and obligations of an eventual inheritance are not clear to all of them?
- Are eventual philanthropic initiatives of the family aligned with its values and principles?
As you can see, there are many situations in which the direction that management leads the company will have either a positive or negative impact on the company’s financial health or it could be the difference between growth and stagnation.
Talk to us.