Do you own a family run business? Are you finding that you are being faced with a load of changes as dictated by the shifts in the industry? Well then help is at hand from Family Business Coaching services provided by various companies across the world. The aims of this article are to make you aware of some of the best practices to adopt for family run businesses.
You will find that approximately 80-90% of the America business and over 70% of the European Business markets are composed of family run businesses. Surprised? Don't be, because nowadays it's not surprising that people are getting into business. The world's largest online trading network had reported that the number of traders with a turnover of 1M has doubled over the last year. It also reported that since the start of the recession in 2008, nearly 25,000 people started trading as a small business online. They have also highlighted that whilst many small firms have suffered in the economic downturn, various family run businesses have profited from selling products online. This suggests that small businesses are challenging the uncertain economic conditions.
Developing the future heir of your business
I n family businesses it is often taken for granted that another family member will take over the business. However, based on research and experience, we have found that this may not necessarily be good for the business as well as for the individual. Sometimes the business owner is just thinking about retirement and immediately wants their child to take over the business without actually thinking about whether or not they have the right level of experience to take over and do the job. At this point, a Family Business coach would take over and provide the business owner with advice and guidance on these matters and actually make them think about these areas that they won't have thought about before.
Understanding of business knowledge and level of experience in the industry would be questioned when taking on a family member into the business. If it was agreed that the next family member to be voted into the business has no business knowledge or industry experience, then various measures would be taken and the rigorous training sessions would be set-up to bring them up to speed. This can be via set-up of internal projects to work on or by asking them to find work in the real would and working for a company within the industry for around 1 year (or more) to get that hands on experience before joining the family business.
Family members and business needs
A final note before we end today's article: business requirements. Business requirements are an important aspect of any business and need to be analysed and assessed fully via financial revenue gained for each product line and to ultimately determine if new recruits are required to cater for the added workload or expected work load to come through over the next few months to a year.
You will find that approximately 80-90% of the America business and over 70% of the European Business markets are composed of family run businesses. Surprised? Don't be, because nowadays it's not surprising that people are getting into business. The world's largest online trading network had reported that the number of traders with a turnover of 1M has doubled over the last year. It also reported that since the start of the recession in 2008, nearly 25,000 people started trading as a small business online. They have also highlighted that whilst many small firms have suffered in the economic downturn, various family run businesses have profited from selling products online. This suggests that small businesses are challenging the uncertain economic conditions.
Developing the future heir of your business
I n family businesses it is often taken for granted that another family member will take over the business. However, based on research and experience, we have found that this may not necessarily be good for the business as well as for the individual. Sometimes the business owner is just thinking about retirement and immediately wants their child to take over the business without actually thinking about whether or not they have the right level of experience to take over and do the job. At this point, a Family Business coach would take over and provide the business owner with advice and guidance on these matters and actually make them think about these areas that they won't have thought about before.
Understanding of business knowledge and level of experience in the industry would be questioned when taking on a family member into the business. If it was agreed that the next family member to be voted into the business has no business knowledge or industry experience, then various measures would be taken and the rigorous training sessions would be set-up to bring them up to speed. This can be via set-up of internal projects to work on or by asking them to find work in the real would and working for a company within the industry for around 1 year (or more) to get that hands on experience before joining the family business.
Family members and business needs
A final note before we end today's article: business requirements. Business requirements are an important aspect of any business and need to be analysed and assessed fully via financial revenue gained for each product line and to ultimately determine if new recruits are required to cater for the added workload or expected work load to come through over the next few months to a year.
About the Author:
Glenda writes for various topics across a range of industries including business coaching , and business mentoring, so visit The Academy for Chief Executives website today for more details.
