You’ve been in business for a long time now. In fact, you’re getting closer to retirement each day. This has encouraged you to think about what will happen to your company once you are no longer around to run it.
One option at your disposal is to bring in your family members and train them for the succession. Is this the right thing to do? What are the advantages and disadvantages of bringing family members into your working life?
You can trust them
Running your company involves dealing with large sums of money, both in terms of sales and purchasing. A stranger may have a glowing CV and references, but do you really know that you can trust them? This is a problem that you don’t have with your family members. You would trust them if your life depended on it, so you aren’t worried about them being reckless with money.
On the other hand, could your trust turn into complacency on their behalf? Perhaps they might end up thinking that the rules don’t apply to them. If your family members are being treated favorably over other employees, this could severely impact staff morale and productivity. At the end of the day, it’s a business operation, so family members must be subject to the same rules as everyone else.
Is it worth risking your personal bond?
When you bring your family members into the business, it means spending time with them both at work and in personal settings. Essentially, all of your time is spent together. Even people with the strongest of bonds need some time apart now and again. Spending all of your time together increases the chances of family rifts occurring that might never be healed. Is it really worth the risk?
There are advantages and disadvantages of working with family and it’s important to consider them all. Seeking some legal guidance as you think about your business succession will help you make the right choice.