Families are usually a complex mix of individuals with different
abilities, attitudes, aspirations and financial needs. Each family
member is likely to want different things, and in the context of a
family owned business, this can produce tension and discord.
A well advised family business will, of course, go to great
lengths to get a sound understanding of the different aspirations
of the family members, to attempt to achieve a degree of alignment
of 'aspirations' and 'outcomes', and then to
document (formally or informally) the findings and any agreed
strategy.
However, we find that the most effective strategies are under
pinned by 'structure'. We have also found that the
share capital of the family business can
be the right place to start.
