Hello there! I do hope you are enjoying the remaining hours of this weekend that is fast running away. Let me dispatch this blog post before another busy week commences.
Today I would like to write something about family businesses or family owned businesses. Some call them owner-managed businesses. Whatever you call it, I guess you know what I’m meaning. Family businesses cannot be ignored. It is reported that up to 80% of businesses in the world are family businesses. In the US for example, 35% of Fortune 500 businesses (500 largest companies in the US as listed by Fortune Magazine) are family enterprises; 60% of public listed companies are family businesses; and 60% of employment is generated by family owned businesses. Don’t blame me for using the US – in case you don’t like those folks, but simply get the principle. The statistics might follow a similar trend in other countries though some countries don’t even have 500 big businesses they can boast of. It’s not a laughing matter by the way, but you have my permission to laugh if you like.
Some family businesses have become great multinationals and brand names globally today. I believe you can name some around your location in whatever part of the world you are in. Can’t you? You might even be enjoying their products and services as you read this blog. These businesses indeed mean a lot to humanity and the local and international economies. Don’t you agree with me? Come on; don’t just brush them aside because of the world ‘family’. I know some people are so proud and high-minded; oftentimes thinking nothing good comes from families. Fantabulous things can come from families and family owned enterprises, and we need to respect such enterprises that serve humanity in different ways. Are you with me?
So, what the heck about family businesses today? Why are we devoting a whole blog today to family businesses? The issue is this. Despite the importance of these businesses as mentioned above, family businesses globally have unique challenges or problems that non-family enterprises do not normally face. In this blog I would like to identify the top 10 challenges family owned businesses face. If you are running a family business, or are planning to start one, it’s important that you know these challenges so that you devise strategies to handle them otherwise they will handle you. I won’t provide solutions to these challenges today, but if you keep a tab on this blog, one day I will provide some clues on possible solutions. So, what are the most common problems, challenges or threats to family owned businesses? Take a look here.
Ok. It has been a long blog today and I don’t intend to keep you reading it forever. I know you have some other things to do. Don’t you? So, let me make a swift ending here. The above are the top or most common challenges of family owned businesses in whichever part of the world they exist. However, it is also worthwhile to note that some of the big corporations and multinationals we see today started as family businesses and some are still family owned. They simply became smart enough to overcome the above challenges hence their huge success in the global business arena. Ok? Therefore don’t lose hope if you are running a small family business and you are struggling under the weight of some of the above issues.
With every good wish to all family owned businesses worldwide,
The Wise Entrepreneur