Passion and vision are two characteristics that make a good leader, but when not tempered by humility, any vision a leader has will ultimately fail at the hands of those feeling they are being pushed along a path they either don’t agree with, or aren’t comfortable with yet.
All employees have their individual emotions – what can be termed “personal emotions” – and dealing with those affecting workplace dynamics is of course important, but lesser understood and therefore addressed are the shared workplace emotions – what can be termed “collective emotions” – which can negatively impact the execution of a new business strategy.
When it comes to long-term goals, family businesses generally have fairly ambitious growth plans. A quarter of those surveyed in our KPMG Family Business Global Survey said that acquisitions are their most important funding need, 18 percent said expansion into new geographies, and 16 percent said new sectors.
Like any other business, family owned ones need capital. Unlike companies following a more public business model though, family businesses are inherently restricted on where to seek capital, due to their unique stipulations.
With the recent focus on family constitutions (also known as “charters” or “protocols”); some business families feel that these are magic formula that will help them stay in business together, forever, no matter what.
There’s a common misconception that family businesses seem to be entirely self-financing and therefore self-sufficient. Our survey did find that the opinion towards financing did differ slightly between the different countries
Deciding that it’s time to sell your business is a big decision all by itself, but unfortunately, it’s only just opening the floodgates to many more decisions – all revolving around the question of how the business will be sold.
The very nature of a family business might make the owners shy away from seeking out High Net Worth Individuals (HNWIs) as investors, as they assume these investors are not just willing to front the money, without some sort of equity stake being involved. However, the findings from our recent KPMG Family Business Global Survey told a slightly different story.
Often in business, we are so driven by the bottom line and quarterly targets that we won’t think twice about throwing out an innovative idea at the first sign of failure. It’s just too big a risk to continue with something that is already showing signs of being unpopular. Madness is following a path riddled with failures, right?
When most people think of a “family business”, their mind instantly turns to some version of a little corner shop, most likely run by a husband and wife. If not that, as there are famous examples of very successful family businesses, then most would at least assume a few key characteristics about the business model.
KPMG Family Business Global Survey
KPMG Family Business Think Tank
More Think Tank Videos
KPMG Global News
'Transforming Insurance,' KPMG International's latest industry report, delivers a viv [...]
TEXATA is delighted to welcome KPMG International as the Major Global “Professional Services” sponso [...]
Dr. Mark Britnell, Chairman, Global Health Practicel and Partner, has become a member of the Global [...]