It is not uncommon for family members to go into business together. The inherent understanding is that there is a higher level of trust between the owners or staff when family is involved. However a family business may lead to complications, such as how to delineate between a family and working relationship.
When hard decisions need to be made, or family members don’t see eye-to-eye over business decisions, this can easily flow over and negatively affect family relationships.
There are many different scenarios where mediation can be extremely useful, for example:
- Succession planning: When the owner or head of a business is looking to retire and needs to choose who will take over and perhaps has a number of siblings or in laws to select from.
- Business changes: One family member wants to take the business in one direction, perhaps to diversify or expand, while another family member is adamant that the business needs to remain focused on its core offering.
- Selling or downsizing: Decisions about winding down or selling a business