An SME Family Businesses do not necessarily prosper across generations as it is hard to leverage benefits to all the potential successors of the entity. In the case of an SME family business, it is not only about finding the right successor but also to save the integrity of the company and family members. The issue may also involve the removal or moving the position of a family member without hurting their dignity.
An SME family business typically faces these kinds of situation
- Conflict over the control and less attention to the core business issues.
- Discouragement of non-family employees on the promotion of family members
- Potential opportunities are missed due to diverging priorities and misuse of capital by the various family members.
- Personal family conflicts hamper the company’s decisions.
- Finding or preparing the right successor