Clear vision for the future so essential

FAMILY businesses account for two jobs in five in the UK private sector and account for almost a quarter of UK GDP.

Whilst family businesses can have managers who are not family members, family members are often involved in some capacity.

Most families have unwritten rules about how things are done.

However these are not always communicated and understood by all.

This can result in the interests of a family member not being aligned with the interests of the business.

Examples are in situations involving divorce, incapacity and death.

The challenge faced by family businesses is to develop strategies to address issues and to create solutions that anticipate the emotional dimensions of the family.

The most intractable family business disputes are primarily due to the emotional issues that compound them.

Taking time to agree the family business’ goals, roles, structure, policies and protocol in a Family Business Agreement can be invaluable for protecting family wealth and the business for generations to come.

A Family Business Agreement provides a clear framework for how your family directs matters when it comes to the family wealth and the family business.

Having worked with small and medium sized family businesses with high growth, we are able to identify the common issues that can destabilise that business.

A Family Business Agreement can define the roles within the family business, protocols for resolving disputes and succession plans for the business and family wealth.

The Family Business Agreement is a bespoke document individual to the needs of your own family and business and can avoid the issues that arise from life events that could damage and endanger the future prosperity of the business. Rayner Grice, Partner, Family Team at Clarke

Willmott