SME Business Learning series

SME Business Learning series

The title of this article is at the heart of the learning sessions coined Family SME Business learning Series  provided by the Institute For Family Business (IFFB). This title is spot on considering the increasing, and ever so predictable challenges faced by family-owned businesses…ownership, frivolous court cases, succession, next generation involvement or lack of it, wealth wrangles and more.
While undoubtedly presenting challenges that hinder the growth and continuity of SMEs and Family-owned businesses, they also serve as breeding grounds for opportunities to fortifying wealth preservation and spur sustainable growth – a befitting background. Consequently, considering our extensive experience providing advisory support and providing resources “how to” information resources for business-owning families and more, makes me feel we have much to share on the ocassion.
Best-in-Breed Family owned enterprise
The writing on the wall – to SMEs and business owning families – is clear, unless you plan for it, it will not just happen. Creating “best-in-breed family-owned enterprise” is definitely not a walk in the park, a fact, yet again, validated in a recent family wealth preservation interview with Paul Ouma, a specialist and expert in family business succession and wealth preservation strategies.
It’s a given that families grow faster than businesses. It is therefore imperative, that as the families grow, it should develop a family governance system.  Which then becomes a critical component of its wealth preservation plan, without which, many families are unable to preserve their wealth beyond the third generation – ending up victims of the third generation curse. An undoing of family wealth which typically follows a familiar path: the first generation creates the wealth: the second generation preserves the wealth: and the third generation spends the wealth.
The tell-tale signs present themselves, more often than not, when the founders or owners of businesses do what they know best. Run the business as best as they know, and rarely share succession and ownership plans with the children (succeeding generation) until it’s too late in the game.
In due course the family grows. Some children working in while others may be working out of the business. Spouses too could have joined the family – and perhaps children. Invariably, the number of people with interests in the business naturally snowballs the need to insulate for fragmented ownership. Worse still, as the patriarch slows down and eventually exits active day-to-day involvement in the business.
In our experience some families, continue to suffer in silence over the “forbidden agenda” i.e. ownership, succession, sibling rivalry, next generation involvement. While others openly show feelings of discontent.  Eventually, many family businesses fall victim of the generational curse – and fail – due to internal issues.
A theme you wouldn’t be too far from the truth, stating will almost certainly be the topic in the next family feud, or frivolous sibling wealth court case that hits the media spotlight.
The Game Changer
There are a number of ways business owning families can lose their hard earned wealth. Yet, in the same breath, tools and strategies are available to inoculate your legacy, ensuring your business can transition for generations. The Institute For Family Business (IFFB), specializes in supporting mature family-owned businesses institutionalize succession and wealth preservation strategies in the region.
They have a bouquets of Family Business Learning Series (FBL Series); which are short topic-based expert continuous learning briefings, designed to assist current and future family-owned business leaders develop deep insights, and acute judgement on “how to” manage family-owned business. And to enable the wealth to transition for generations.
The Breakfast Learning Session. Family Business learning Series– preserve legacy is a must attend Learning Series for founders and next generation of family-owned businesses. 
Does Your Family Business Need Help?
Institute For Family Business (IFFB), has extensive experience assisting family businesses. Through private family business advisory support services, Succession risk audits, specialized topic-focused sessions of Family Business Learning Series, IFFB continues to assist family-owned businesses in the region thrive from generation to generation.
For Information on how to attend the Family Business Learning Series: 
You can contact us on :+( 254) 722 259 855 or + (254) 732 998 655 or email info@institutefamilybusiness.co.ke

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