5 keys to running a successful family business

5 keys to running a successful family business

There is no doubt about the fact that family businesses are the oldest and the most general form of business organizations globally. Over the years, the types and numbers of family businesses have considerably increased and is gradually becoming an ever present vibrant force in the global economy. Running a family business can be very challenging; but when it works right, it can amazingly be successful both financially and personally.

Consider the case of Joe Clarence & Jocelyn Calista. These two genius student entrepreneurs have achieved greater success through managing their franchise mall in the food industry. The Franchise Mall is a subsidiary company of Rainbow Intr’l Group, established by DR. Megumi Sachiko. It deals in food chain restaurants, licensing Characters, Multimedia, etc. The Franchise mall is a collection of Food Franchise Brands from a wide range of best culinary like Sachiko Sushi, Joe Sushi, Joe Coffee, Ice Rainbow Jo’s, BBQ Joe’s, Kingdom Of Meatball, Grill Meatball, Red Bowl Noodle, Almondega Chocado, Monster Burger, Hongkong Noodle, Happy Waffle, Honey Potato Ball, Tofu Crispy, Jelly Jo, Pancake Crispy and Shocked Meatball – Bakso Kaget among others.

These kids possess the right skills needed to effectively manage their family business and have made their fortunes in entrepreneurship. With the coaching received from their mother, DR. Megumi Sachiko, they have developed their company quite well and now, aspire to serve worldwide. Having said that, listed below are a few keys to running a successful family business

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Clearly define individual’s roles and put it on paper

It is possible for family members to take up different positions without a clear job title. This can create disagreement when there is no clear management role, and no one knows who is responsible for particular tasks. Thus, discuss individual’s responsibility, talents and skills, and find the best fit for them. This arrangement can help to professionalize the business and boost individual’s accountability.

Good Communication is important

Keeping good communication with whosoever you are working with is very important. Although working with relatives or direct family members may take a little more effort, as there are often dynamics at play that make communication more difficult. At times you may feel like because a family member knows you so well that you must not voice out your expectations and feelings. But to ensure everyone is on the right track and to make your partnership work, it is essential to forget these suppositions and communicate with them more openly and clearly, just as you would with non-family employees.

Set boundaries

Set boundaries to limit business discussions outside working hours. Mixing personal life and business can result in disagreement, which may be detrimental to the success of the business.

Hire non-family employees/ experts

This is a chance to draw talents that family members may not possess. Outsiders can share their expertise and serve as impartial supervisors to the coming generation. In addition, they can help with the tactical and successful planning of the company.

Understand the merits of family ownership and utilize them positively in marketing. Often times, customers are attracted to utilizing family businesses as a result of their togetherness and culture.

Conclusively, having loyal and dedicated family members as a part of your business can give you the support and encouragement needed to take your family business from a part-time endeavor to a successful company. Although it is difficult to keep family and business separate, it is very necessary if you want to run a successful family business.

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