Decisions on how to sell, continue or diversify a company from one generation to another are complex; these varied articles approach the topic in multiple ways.
In this week’s FFI Practitioner, we are pleased to share a précis of “Multilayered Socialization Processes in Transgenerational Family Firms” – an article that appears in the September 2019 issue of FBR.
Is the traditional method of family business leadership succession, where the successor joins the business at a young age and gradually learns the values and business knowledge from the senior generation, still the best approach? In this week’s FFI Practitioner, contributors Zografia Bika, Peter Rosa, and Fahri Karakas examine this question through a study of a multi-generational Scottish construction company and share actionable insights for advisors helping clients with succession planning.
Thank you to this week’s contributor, Randy Waesche, for this thought-provoking examination of the influence that money and financial independence can have in the succession process.
Thanks to Gaia Marchisio for this week’s article which discusses the importance of recognizing and addressing strong beliefs about “universal truths” and misconceptions in the field of family enterprise. In this article, Gaia urges advisers to avoid becoming too narrow-minded and entrenched in an established way of thinking. Instead, she encourages advisers to maintain an outsider’s perspective on conventional family business truths that are often taken for granted.
When family business owners are evaluating non-family ownership succession options, often their advisers may suggest two primary options; selling the business to a “strategic buyer” or a “financial buyer.” However, this week’s edition presents an alternative option – selling the business to the employees, a “friendly buyer,” through an ESOP. Thank you to this week’s contributor, Dan Bayston, for sharing his analysis of ESOPs and the role they can play in a non-family ownership succession plan.
Thanks to Sylvain Daudel of Stetson University for adding to several provocative FFI Practitioner articles on the topic of generational transition! He argues that the paradigm is wrong — it’s not about longevity but about value creation.
Is the pursuit of longevity by family businesses a flawed goal? Almost every practitioner would strongly answer ‘no!” However, for this week’s edition, Asher Noor has decided to adopt the contrarian position in this provocative and Shakespearean inspired piece. Let the play begin!
This week’s article examines two sides of one issue – competency. Thanks to Patricia Annino for sharing her analysis of the challenges presented by either sustained or diminished competence in an older family founder and for providing practical steps to help family plan for these challenges.
This week’s FFI Practitioner Edition by Michael Madera categorizes the mindset of many family firms in the midst of transition into “Hold, Mix, and Shift.”
Families of wealth are constantly looking for the secret to proliferating their fortunes over multiple generations. A key element is right before our eyes, the family’s generations.
As practitioners we encounter gender-related issues regularly as we help business families plan for the future ownership and leadership of their enterprises.
This is a simple adage, which, despite its universal application, is identified more with the mutual fund industry than with general philosophical statements.
Managing any business involves many challenges. But managing a family business brings with it a unique set of challenges, many due to the close emotional relationships involved.
For families in business nothing is more challenging than succession. Part of the problem is that succession is a multi-disciplinary task, involves multiple stakeholders, and is a once-in-a-lifetime challenge for most entrepreneurs. So, where to start when dealing with succession? Here is an attempt towards filling this gap – a six step process for practitioners to consider when developing a succession plan for a small to mid-sized firm. Clarifying the goals and priorities Both incumbent and successor have to clarify their goals and priorities with regard to succession. For the incumbent
Some topics are always current, succession and transition being among them. Thanks to this week’s author, Glenn Murray, for addressing the topic from a holistic approach.