Last updated 5 months ago
Most people picture family businesses as tiny operations, and while the Mom-and-Pop variety of family companies are crucial parts of the economy, in reality, family business is anything but small. Up to 90% of global GDP is generated by family businesses. In the U.S. alone, over 60% of workers are employed by a family company. The Family Business Institute put together this infographic to highlight facts about family businesses you may not know. Our family business consulting firm in Raleigh is dedicated to helping closely held companies thrive with advice on everything from transition planning to conflict resolution. Spread the word about the power of family businesses by sharing this infographic.
Last updated 6 months ago
Family businesses can take many forms. Often, it’s a multigenerational business in which the children follow in one or both parents’ footsteps. Increasingly, family businesses have been presenting excellent opportunities for women to excel within the company. Women may offer unique perspectives on ways to improve business, and in turn the model of the family business offers unique benefits for women.
Flexible Work Life
In the corporate world, women are often expected to place the priorities of the company ahead of their personal lives. In order to climb the corporate ladder and achieve leadership roles, a woman may decide to delay starting or growing her family. In contrast, a family business can offer a higher degree of flexibility and improved work-life balance. Flexibility may translate to a more ideal work schedule. A woman may choose to work part of the day at home to be with her children, for example. Plus, it may be far easier for a woman to approach the head decision maker in the family business about personal decisions that affect her work life such as a plan to start her family within the next three years, for example.
In addition to a flexible work life, working in a family business can offer women greater opportunities for advancement. They may have more opportunities to assume leadership roles and to take on additional responsibilities. If a parent is in charge of the family business, his or her daughter may one day take over the family business and assume full responsibility for the company.
Working within a family business may offer some women more satisfaction than working for non-family members. She may feel more of a sense of fulfillment from doing her job well, and she is more likely to be personally invested in the success of the company.
The mission of the Family Business Institute is to help closely held and family businesses achieve their goals and maximize their profits. Our professional consultants can offer your family business the advantage of an outside perspective into your unique situation. For more information about management training and ways in which we can help you improve your business, call (888) 438-1948 and arrange an appointment.
Last updated 6 months ago
Sibling rivalry is practically inevitable in families with more than one child. While sibling rivalry can lead to highly charged emotional issues for all involved, it can have even greater consequences in a family business. One of the key components of preventing and resolving conflicts in a family business is to understand the personalities and perceptions of those involved. Birth order can play a significant role in this.
For example, the eldest child is typically the most conservative and authoritative one. First-born children often assume leadership roles within their companies. On the other hand, younger children tend to embrace new ideas and be more liberal. The clash of these different personalities may instigate conflict. However, with a little patience, siblings can indeed learn to work well with each other for the success of the business.
The experienced consultants of the Family Business Institute understand the complicated nature of family businesses. We were founded by a father and son-in-law team. To schedule a family business consult, call (888) 438-1948 or visit our website to learn more about us.
Last updated 6 months ago
When managing conflicts in a business setting, the first rule to bear in mind is to conduct yourself in a professional manner. Even if you feel strong emotions regarding the issue, it’s best to keep your body language, facial expressions, and tone of voice neutral while interacting with others. Additionally, make sure you find out the facts behind a situation, rather than making assumptions.
As you’ll learn by watching this video, making assumptions about a situation is only likely to create further conflict. This expert shares an example of this from her own professional life. She also stresses the importance of asking questions and using “I” statements rather than “you” statements.
The Family Business Institute looks forward to meeting you and discussing your management training needs. Call (888) 438-1948 with any questions you may have about our family business and closely held business consults.
Last updated 7 months ago
Business valuation is a tool to determine the economic or fair market value of a business. There are a variety of reasons why a closely held business may choose to conduct a business valuation including estate planning, divorce proceedings, or buy-sell agreement planning. In valuing a business, owners typically review their financial statements and historic cash flow while comparing their financials to similar companies.
At the Family Business Institute, we use a business valuation that assesses a company’s past, present, and predicted future performance. This helps closely held business owners determine what factors actually drive their company’s values. While traditional business valuations result in relatively static financial metrics, our valuation provides business owners with a strategic business management tool. Our approach to business valuation allows entrepreneurs to choose the strategy that would make their business the most successful over time. Whether the entrepreneur wants to keep the business within the family or sell it, we can help him or her discover when the company will be at its highest valuation.
Call (888) 438-1948 to learn more about the business valuation services of Family Business Institute. We are a professional consulting firm dedicated to helping family and closely held businesses.