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Family Business Daily Issue 2 / May 1, 2015

A Slice of Advice

Levy Family Debacle

Thought of the Day

To open a shop is easy, to keep it open is an art

Chinese Proverb

Robert Levy makes rash decision to stay in company

Family Business Consulting

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Families are from Venus, Businesses from Mars

- Alan Barker

In order to keep the family business flowing smoothly

it is essential to promote non- family members to

senior roles. This move will allow a family to take

their business to the next level and will eliminate

emotionally charged decision-making.

CIG Family Business Consulting are experts in all the complexities of family businesses. CIG Family Business Consulting can help with any aspect of your family business from inception to succession planning. Every single family business has different requirements, some are run simply as a lifestyle business and some are run as multinational corporations. But whatever the size and model of your family business CIG Family Business Consulting are the only people to talk to, to help advise and to improve your family business. We are there to work with you to make your family business as successful as you want or need it to be. No stone will be left unturned in ensuring that your business is a total success. By using CIG Family Business Consulting your life be it business or personal will become that much more rewarding.

Please call us on +44(0)845 201 3960 for more information.

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Family Businesses are a unique

breed. A majority of family

businesses often blur the line

between family matters and the

business itself; this in most cases is

the reason behind a businesss

downfall. There are many factors that

are affected negatively when

intertwining family and business. For

example, in regards to succession

longevity can overrule skills and

cause the parents of the business to

choose the eldest son over the more

qualified and younger daughter. In

many cases children are unqualified

and appointed a senior position

within the company, this move can

cause demotivation amongst valued

non-family members. Coming from a

family business can allude family

members into thinking they are

entitled to excessive perks within the

business. The business is wrongfully

abused as a checkbook to purchase

unnecessary lavish items instead of

respecting the differentiation

between compensation and company

revenues. Furthermore in regards to

compensation, many family members

are wrongfully awarded the same

remuneration regardless of their

position and skills; this move can also

negatively impact the success of the

company. Poor communication is

also a colossal mistake in a family

business environment. In order to

avoid conflict and maintain harmony

amongst family members many

issues regarding the business are

disregarded and can result into

resentment within the workplace in

the long run. A family run business

must always remember to separate

family members to ensure the

longevity of their business. It is

important to make decisions without

emotional attachments. If your

children are not yet qualified there is

no harm in hiring a non- family

member to run the company till your

child is ready. It is important to keep

personal and business spending

separate and compensations based

on performances. Lastly,

communication is key for a family

business to be successful.

(If you are having any of these issues with your

family business please do not hesitate to hire a

consultant as the one advertised in the page

above)

Family First or Business First?

Coming together is

a beginning.

Keeping together is

progress. Working

together is success

- Henry Ford

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Roger Levy & Ilapak 80 Year Old Owner Shocks Family

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Today during a family meeting in regards

to succession the eighty-year-old Roger

Levy makes a shocking announcement.

He has decided to stay in charge of Ilapak

and has taken over an American

competitor that is swimming debt.

Despite his questionable health he has

revoked Lucianos role as successor and

has appointed him and his son Guy to

take care of matters in America while he

runs the European division. Despite her

shock at her fathers irrational move,

Sabrina has decided to stay out of the

picture. What does this mean for the

family? Many consultants interpret

Rogers move as a typical move made by

first generation company owners with an

emotional attachment to the business.

Sending Luciano and Guy into America

gives him full control to make all

decisions without any barricades. If the

move is finalized Ilapak, a once leader in

packaging, may finally face its downfall.

Maheen Khan a family business consultant

believes this move may not only cause a

family dispute but will also negatively

impact the companys internal structure

and cause employees to seek for jobs

elsewhere.