Welcome to the Bottom Line Top Line Podcast with Carol Bartlett, Jol Hunter, and Chris Spurvey.
In this week’s episode, we talk about the dynamics of a family business and how you can ensure that your family business moves forward without compromising the relationships among family members involved in the business. We also talk about whether you should encourage your children to join the family business or allow them pursue their own passions.
This episode is full of insights about parenting, family life, and business, so make sure to check it out!
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Structured Communication in Family Businesses
Family members who are in business together are often good at making assumptions—having a sixth sense—about actions that should be taken, because they’re familiar with another. But the ease of making such assumptions can have negative consequences. Structured communication processes can help.
Family businesses must have clear rules about which decisions can be made by whom, which decisions must be discussed and with whom, how those decisions should be communicated, and the process for implementing them.
Although some lines may always be blurry, structured communication can minimize the challenges.
Involving Children in the Family Business
I’m in favor of involving children in the family business early. But I’m also in favor of encouraging children to find their own ways and their own paths rather than pressuring them to go into the family business.
I recommend that you encourage your children to get involved in the business to learn the business model, how the business operates, and how to make wise business decisions.
Standards for Family Members in the Business
You should have clear standards, or expectations, for family members in the business. For example, if the expectation for employees is that the workday starts at 8:00 a.m., maybe all family members should start work at 7:55 a.m. If the usual lunch break starts at noon, maybe family members should take lunch at 12:05 p.m. Standards usually should be higher for family members to ensure that they earn the respect of their non-family coworkers.
How Being a Parent and Running a Business are Similar
I’m not a parent. But I think that in parenting, as in business, we do the best we can and sometimes we’re harder on ourselves than we should be. Becoming a parent doesn’t come with a guidebook, and businesses are the same way, so let’s be a little bit easier on ourselves.
To learn more about these topics, please listen to the episode.
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