Resources for Family-Owned Businesses
This brief outlines the legal definition of a family business and points readers toward some online references.
For many remodelers, their businesses involve family members. And family businesses can take on different forms--siblings may run a company, or a spouse might do the books and take care of administrative activities.
According to the Family Firm Institute, here are some defining characteristics of family business.
- More than one family member works in the company (paid or not).
- Career decisions of family members are influenced by the existence of the business.
- Family relationships have influence on management succession.
- Family members hold key positions.
- Family shares a sense of responsibility for the business.
A host of issues--such as succession, family relationships, and transfer of ownership--affect family businesses. The dynamics surrounding family businesses are unique. Owners have more than a business relationship; they have strong emotional ties. The Austin Family Business Program at Oregon State University lists the challenges for business-owning families as communicating, working together day-to-day, and surviving succession. Remodelers looking for more information on family business topic can check out these websites: