The matter of boundaries is a core issue in all relationships. In family business it becomes especially important because the task of family and the task of the family business are not the same; something often confused. The task of the family is to nurture its members: to help them grow into productive, independent, contributing adults with high self-esteem. The task of the business is to generate profits for the owners. When families merge these two entities – the family and the business – seeing them as having the same purpose, confusion is created in the family and among employees of the family-owned firm.
A shareholder agreement is an arrangement among company’s shareholders describing how the company should be operated and the shareholders’ rights and obligations. It also includes information on the regulation of the shareholders’ relationship, the management of the company, ownership of shares and privileges and protection of shareholders. This sample shareholder agreement provides the framework for you to start the conversation about creating your own shareholder agreement.
Family and closely-held businesses often lack the breadth of vision and diversity of experience they need to take a business to the highest level possible. Creation of an Advisory Board made up of outsiders who are experienced business leaders is a way to “push the envelope” and cause the owners to examine directions and possibilities they might not otherwise consider. Through this process they make the business stronger, increase the shareholder value and better position the Company to capture the opportunities that are available.
In psychology, the real self and the ideal self are terms used to describe personality. The real self is who you actually are. It is how you think, how you feel, look, and act. The real self can be seen by others, but because we have no way of truly knowing how others view us, the real self is our self-image. The ideal self, on the other hand, is how we want to be. It is an idealized image that we have developed over time, based on what we have learned and experienced. The ideal self could include components of what our parents have taught us, what we admire in others, what our society promotes, and what we think is in our best interest. If the real self is aligned with the ideal self, then you will feel a sense of mental well-being or peace of mind. If the way that you are is not aligned with how you want to be, the separation, or lack of alignment, will result in mental distress or anxiety. We are most comfortable with ourselves when there is sufficient overlap of the “real self” and “ideal self” as shown in this example.
This document is a short list of the practices found in the most successful family businesses around the world.
Who needs a family constitution? The future harmony of your family and continuity of your business may well depend on going to the trouble of writing one. Here is an outline and informative article to get you started in drafting your own Family Constitution.
This document will assist family business owners in addressing the on-going working relationship between the Chairman of the Company, its President/CEO and shareholders. An ideal guideline for creating your own Governance Charter.
What guides your family and your family business? A family mission statement is something you can use to bring your focus back to the basics in times of struggle. These examples will give you an idea for creating your own Family Mission Statement.
Establishing crystal clear boundaries between worker, family member, parent and sibling will not only open a path towards professional decision-making, it can eliminate a great deal of hardship down the line, says Dennis Jaffe, Ph.D. Dennis Jaffe brings his experiences of more than 40 years working with family business into this article on boundaries.
Hug Your Customers – The Proven Way To Personalize Sales and Achieve Astounding Results, written by Jack Mitchell, is an important business book for the unique content and focus on customer service. What Jack didn’t tell you in the book is about the family work we did to bring Mitchells through three generations of owners and set the framework for the fourth generation and beyond. Here is the story of the steps to success that can be used by all family businesses.