Checklist of family business ownership and management choices
What's a checklist of family business ownership and management choices, and when do you need one?
This checklist is designed to support you in making some of the key choices that matter when you’re starting up a family business.
Ideally, you’ll come back to this checklist and what you initially agreed, as you get underway and your family business starts to grow and thrive. The decisions you make here will help to inform your business plan, how you benefit financially from your business and your future recruitment decisions, to list just a few examples.
We recommend that you collaborate with your fellow family business founders on the content of this document. It’s important that everyone is agreed and understands the decisions being recorded here. It’s time and effort well spent to avoid potential friction and misunderstanding at a later stage – something that many families running businesses discover and struggle with, especially when they face challenging business (e.g. sales drop) or family (e.g. divorce, death, disagreements) events later on.
The key areas highlighted in this checklist are principally modelled on a family business model that will operate via a private limited company structure in the UK. However, the same considerations will need to be covered by families who want to establish a different business model, e.g. a partnership, and/or who own other types of assets, or who may be setting-up in other jurisdictions.
What else might you need?
For help working through this checklist and understanding all your options and opportunities, our Speak to an Adviser service is ideally positioned to support you. Our experienced partner experts, many of whom don’t just advise on, but have run – or still do run – family businesses themselves, will understand exactly what you need, what you may be anxious about and they’ll ensure their support to you is really cost effective.
This is not intended to act as a legally binding document. It is a means to highlight factors for discussion by you and to record your conclusions, enabling everyone involved to confirm that they agree before you put any formal set-up measures in place.