Warren Buffett famously said: “It takes 20 years to build a reputation and five minutes to ruin it".
Two factors play a major role in the success of multigenerational wealthy families: they grow their assets well above their consumption rate, and they consistently develop family talent—generation after generation
Research suggests that blended families are on the rise, adding an additional layer of family dynamics to the existing complexities that business families are dealing with.
How will I ensure that I am treated fairly? Will I be able to make a difference? How do I avoid getting drawn into family conflicts? These are some of the questions that I get asked time and time again by talented individuals, who are considering joining family businesses as a non-family executive.
Family governance is not a perfect science and its application is not particularly straightforward. Some would say that the odds are stacked against success if you consider the number of issues that could potentially derail a project. Who the family entrusts with the responsibility of the project is a critical early choice that will impact the odds of success.
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