5 Kinds of Ownership Roles in a Family Business

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One of the common unspoken tensions in a family business is the reality that different owners — and future owners — don’t all want to be involved in the same way. But too often those desires and expectations are not discussed or normalized.

Sticking to “this is just how we do things around here” can have disastrous consequences, even for the closest family owner group.

The author outlines five different types of family business owners, whose involvement ranges from passive to operational. He also shares a process to help families discuss their desired roles and evolve the business governance accordingly.Sienna Amouri*, the 72-year-old chairwoman and founder of a high-end cosmetics enterprise, was distraught.

 

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