The Basics of Starting a Family Business
~by Donya Zimmerman~
Starting a small family business can be a daunting task. At times, being around family members can be very difficult and stressful. Going into business with family members means that not only will you see them at home, but you will spend a lot of time with them at work as well.
Starting a family business is not the same as starting a business with strangers and friends; you have to be mindful of not allowing close ties and personal feelings to play a part in major decisions of the daily operations of the business. When it comes to family business dealings, maintaining both professional and personal relationships is a tricky thing, and can be quite challenging. It is advisable to not allow your personal feelings and emotions to get in the way of doing business.
However, it can be the best thing to go into business with family because they have the same drive and ambition to want the business to succeed.
When deciding to start a business with family members, you must take certain things into consideration before doing so.
With a family business, you have to decide on the following:
- Who will be in charge of the daily operations of the business?
- Who will be in charge of sales and getting new customers?
- Who will handle the money for the business?
- Who will handle the firing and hiring of employees?
The first step to starting a family business is to have an initial meeting to determine the type of business, the products and services to be sold, and the main operations of the business. It is very important to set up a support system when starting a family business, which includes friends and colleagues who do not have close ties to the family. Having a good support system will ensure that the family business is run efficiently and effectively.
For many countries around the world, family businesses help provide economical stability. Family businesses have helped families create a sustainable source of income. The key to a successful family business is to understand that the family must know how to run it like a “true business”.
This is the first of 5 articles in the “How to Properly Set up a Family Business” Series. Be sure to look out for the rest of the articles in this series.
Meet the Author: Donya Zimmerman
Donya Zimmerman is a business consultant, mediator, and legal professional with over ten years of experience. Donya is also a public speaker and aspiring author.
She is owner of Family & Community Mediation and Business Consulting (FACMBC) and Powerful Biz Woman (subsidiary of FACMBC), both of which are based in Baltimore, MD.
Services provided by FACMBC: Mediation and Conflict Resolution Services; Business Registration Assistance; Business Plan Drafting Assistance; Business Certification Assistance; and Business Organization Assistance.
If you are thinking about starting your own small business or non-profit organization, do not hesitate to contact me because I can show you how to do so.
For more information about Donya:
- Email: email@example.com
- Website: http://dzimmerman36.wordpress.com
- Facebook: www.facebook.com/FACMBC
- LinkedIn: www.linkedin.com/in/dzbusconsultantandmediator
- Twitter: www.twitter.com/FACMBC