In most families, members tend to avoid prickly issues, sweep problems under the rug and keep unpalatable secrets from each other, all in an effort to prevent conflict. This may work in a family, but cannot be used in a family business. Proper planning, and transparency, are crucial.
Statistics suggest that a family business has only a one-in-three chance of reaching the second generation, yet few business founders believe that theirs will be the one to fail. The reasons why so many family businesses don’t survive have to do with the ways that family considerations can overwhelm business realities and the consequent lack of focus on the need for business renewal.
This dynamic arises from the unique quality of the family business, in that people from different generations of the same family may share management and ownership of the business.
Not every family member inherits ownership and not every family member works in the business. But those who do, or want to, often make their decisions based on personal rather than business considerations.
The key challenge in planning for the family business is helping the family negotiate the boundary between the world of the family and the world of the business. If family members agree on an approach to cover these areas, the possibility of destructive conflict is diminished. To achieve this, the family can use two overlapping, interrelated, but quite different planning teams.
The first is a council of family members whose tasks are to deal with the business of the family, develop a new generation of family members in the business, regulate the members’ involvement, and align the business with the family’s plans. The council expresses the will of the family in relation to its business.
Bu hikaye Farmer's Weekly dergisinin April 16, 2021 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Giriş Yap
Bu hikaye Farmer's Weekly dergisinin April 16, 2021 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Giriş Yap
Uncertainty over Trump's stance on AGOA
It is of vital importance that that the African Growth and Opportunity Act (AGOA) be upheld following the recent US presidential election, in which Donald Trump emerged as the winner.
Plum pollen study reveals varietal differences in pollination effectiveness
A new study undertaken near George, Western Cape, explored pollination in plum varieties, showing key differences in pollen quality. Octavia Avesca Spandiel reports on the research findings.
Study: small cuts to beef production could eliminate years of emissions
In a paper published in early November, scientists reveal that pasturelands, in particular those that were once forests, hold great potential for mitigating the effects of climate change.
Harnessing wind for cleaner energy
At the Windaba Conference and Exhibition, held in October in Cape Town, Western Cape, Niveshen Govender, CEO of the South African Wind Energy Association, spoke to Glenneis Kriel about the state of wind energy in the country and the opportunities that farmers can exploit.
The Cape Grace: a Cape Town icon is reborn, and her new custodians shine
Brian Berkman has had the exceedingly good fortune of spending many nights at the Cape Grace Hotel over the years. He revisits it to find it as impressive as ever.
Cutting-edge tech aiding the agri sector
Toyota Material Handling's innovations conserve resources and reduce the environmental footprint of farming operations.
Use the correct growing medium for safe seedling production
Instead of buying expensive growing mediums for seedlings, farmers can make their own mixtures from local resources, such as manure, which are economical and produce excellent results
Optimising cherry production and quality
Growing cherries in a suboptimal climate requires manipulating trees and temperatures. But with a considerable market advantage, it is worth the effort. Lindi Botha visited ZZ2's Toscana farm, which for four weeks of the year takes prime position in the cherry market.
Biosecurity & nutrition: the foundation of pig farming success
JD Mostert, a consulting swine nutritionist at CS Vet, and Dr Stefan Steyn, a veterinarian at Afrivet, shared their expertise with Sinenhlanhla Mncwango, delving into why biosecurity and nutrition are critical pillars in establishing and maintaining a productive pig farm geared for long-term success.
The business of pig farming: practical steps for success
Running a pork farm requires knowledge and expertise. Mosele Lepheane, director of a small piggery in the Free State, spoke to Sinenhlanhla Mncwango about the structured approach needed to succeed, from drafting a business plan and managing cash flow to sourcing equipment and expanding market access.
