Creating a Family Constitution
We can help families to reflect and engage in meaningful discussion with a view to establishing their shared purpose. When the family understand why they are in business together, there is no doubt that this can be a great strength.
The “glue” binds them together and makes them willing to stick with the family enterprise through thick and thin.
It might not occur to a family that they already have an informal Family Constitution. But that fact is that in every family there will be a mixture of understandings, assumptions and expectations that underpin how the family makes important decisions, or, put another way, “it is how we do things around here”.
A formal, written Family Constitution will cover the important areas such as succession, ownership and so forth. Practical families in business recognise that there will be different views and opinions on these important issues and they take the view that it is better to discuss them calmly in advance of the need, rather than waiting for something to blow up.
Read more in ‘Your Guide to a Family Constitution’ a publication from our sister family business consulting company, Family Business Solutions.