20 Reasons to Start a Family Business!

20 Reasons to Start a Family Business!

Daphne Mallory of Huffington Post has written this great article. I think it is a great thought provoker for those who are considering starting a family business but also provides excellent reinforcement for those already in a family business and asking themselves -WHY? David Harland – Managing Director of FINH

The best way to build wealth and leave a legacy is to grow a family business. Think of all of the family businesses whose products, services, and generosity you benefit from on a daily basis. Your family name can be added to the history books for creating a better society and uplifting others out of poverty. Here are 20 reasons to start your family business today:

  1. Build wealth for generations to come. The wealth you generate in your lifetime can benefit future generations. Reinvest a portion of your profits back into your business, your community and other investment vehicles, such as real estate, to ensure future wealth.
  2. Transfer family values. Business presents many opportunities to make choices that promote or contradict your family values. You’ll have a great supply of teachable moments to share how and why you make decisions.
  3. Grow as a leader. Building a family business demands leading others. You will have to grow as a leader if you want to succeed.
  4. Make history. Your family name will be remembered because of your contribution to the economy of your community.
  5. Strengthen inter-generational bonds. Grandparents can work alongside grandchildren in a family business and they can share their culture, experiences and knowledge along the way.
  6. Get Quick access to capital. Your family can become your initial angel investors, giving you the start-up funds for your business.
  7. Share your work load. Working solo takes its toll eventually. Spread your workload with your family.
  8. Increase Sales. Your family story is your competitive advantage. Your clients and customers will remember you when they make the decision to buy.\
  9. Climb out of unemployment. You are your best employer. If done right, you can climb your way out of unemployment with a family business.
  10. Enjoy flexible work hours. I wake up at 2:30AM to get many critical tasks done before my children wake up. You might be a night owl and prefer to do those tasks after your children are asleep. Either way, you may be able to maintain flexible hours for your family business.
  11. Improve your family’s health. You can schedule health related activities, such as running or biking together, when you work together. Organize a hike or bike time in the middle of the workday or in the evening.
  12. Build a foundation. Did you know that many foundations are started and run by families? That’s the beauty of family business. You can help to eradicate poverty and improve the quality of life for others.
  13. Become a community leader. Large companies send their leaders to visit city officials, attend community meetings and participate in service clubs because they understand the correlation between business and community leadership. The good news is that a family business owner can become a community leader, and in some cases, has more influence and credibility.
  14. Build other communities. When I moved to the United States, I understood my obligation to one day help my fellow Liberians and other Africans who continue to struggle with poverty, disease and corruption. My family business serves my children, but it’s also a vehicle for me to promote awareness and raise funds to help women and children in my country. Where are you from? What international community do you want to help?
  15. Become a life-long learner. You won’t stop learning when you run a family business. Industries, products, clients, selling and technologies change. You won’t get bored.
  16. Gain new skills. We’re living in a world where skills are more valuable than academic knowledge. The skills required to start and grow a family business are valuable to colleges, internship programs, fellowships and adult learning opportunities.
  17. Create jobs. You benefit from a community that thrives economically. You can create that by providing jobs.
  18. Invest in other businesses. The easiest way to build wealth for your family is to become an investor. Family business will provide you the money you need to invest in other businesses.
  19. Run for office. We need more family business owners to run for office. Your family business will generate the connections, credibility and capital to run for office and make a difference in your community or nation.
  20. Maintain a wealth of knowledge. When families are fragmented, cultural and business knowledge gets lost. Working together helps to preserve both.

The benefits of running a family business far outweigh the negatives. Think on the positives which will keep you motivated in the start-up phase.

Want to learn more about 20 Reasons to Start a Family Business! Call FINH on 07 3229 7333

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