While being a business family has significant differences to running a family business, many of the same fundamental principles for success apply. These include a clear purpose, vision & mission, open and transparent communication, a clearly defined organisational structure, and considerations around everything from finance to HR.
If family wealth is to continue to grow and survive across generations, it should be managed like a business.
This can often be found in pursuing new opportunities, and business families have a unique advantage in doing this due to their often agile nature and ability to take long term views.
This means that they can not only pursue lucrative opportunities in multiple areas of personal interest but also seek deals in avenues that help them to remain relevant and engage future generations in the business of the family.
When planned for and managed effectively, transitioning to a Family Enterprise
can help to keep a family connected, working towards a common goal and resilient enough to build a legacy for generations.
Our latest podcast with Antony R Contrucci
is a fantastic example of a family enterprise that started small and has slowly evolved into a comprehensive suite of governance practices stewarding in their 6th generation.
The Schrage family have a:
- Family Book,
- Family Psychologist,
- Family Constitution,
- Family Vision & Values,
- Family Assemblies, and even a
- Family Museum.
Listen in to understand how and why each of these tools have been applied to keep the family and the wealth together for generations.