When operating a family business, how do you measure its success? For many, it’s finding out how to keep the brand under your family’s control. Family business succession is growing increasingly difficult as more households have fewer children. Unfortunately, that could mean your company could be bought out by a third party.
Not every family will find it possible to keep the brand from being acquired. Positively People offers family business succession planning that focuses on people first. Here are three ways to measure your family business’ ROI based on a few factors.
The Financial Return on Investment
We’ve spoken to many unique households as a family business consulting firm. However, most of them will tell you that there are easier ways to generate wealth. Not every family will want to pursue the brand or the industry forever. It often takes continuity planning and honest dialogue to understand everyone’s role and commitment.
Many public brands usually see immediate returns, but they may not be flexible. Who other than your family will agree to wait for their money a few more years? Family members can also become future shareholders, allowing for long-term growth. Choose our family business advisory services to better plan for your legacy.
The Emotional Return on Investment
One item that family governance can miss is the emotional aspect. Any entrepreneur knows that without passion for the brand, it won’t succeed. How often have you also heard of family members running from the brand? You can’t always force those with the same last name to have the same passions.
Any company will need to scrutinize its impact on the world around them. Introducing a family element makes it even more vital to analyze. You should feel compelled to keep the brand going or benefit the local community. When in doubt, contact our advisors to learn what your business needs most.
The Relational Return on Investment
Does it feel as though every time you see family, they fight? Now picture them again as being your coworkers who constantly bicker. It doesn’t create a conducive working environment, relation or not. There has to be a sense of reward above and beyond a paycheck.
You only have so many hours to dedicate to your family or your brand. Most people struggle to find the balance between the two. Spending time and energy to minimize the fighting goes a long way. If you aren’t focusing on pressing problems, try a different place to speak.
Measure Your Family Business’ ROI
Even established firms need an outside opinion from time to time. If production seems to have halted, you likely need our expertise.No matter what industry you operate in, we always have solutions. See why family-owned firms rely on us for expanding their businesses.
When you can’t seem to find common ground, you can rely on us. Reinvest in your family brand by contacting Positively People and secure your legacy with proven techniques.