Images Digital Edition March 2019

KB MARKET INTELLIGENCE www.images-magazine.com 48 images MARCH 2019 They should have behaved better I n her Ted Talk on writing, best- selling author Anne Lamott articulates exactly why I dreaded tackling this character: “Families are hard, hard, hard, no matter how cherished and astonishing they may also be.” Now, if everyone in your extended family is an angel, if no one ever behaves badly, if never a terse word passes between you and your family members, if your siblings’ spouses encourage them to help you run your business in spite of the late hours and meagre and sporadic pay, then you may skip this. However, if you have a ‘normal’ family, this is for you. It’s complicated Family relationships can be complicated. When they overlap with business relationships, the potential for complications increases exponentially. And I’m not just talking about the relationship between you and the family member involved in your business. Often, business relationships draw in family members not directly involved in the business. Some family members may feel their opinions should be heard simply by virtue of their ‘family’ status – and this belief often overrides the tact, discretion and prudence generally exercised between non-family business associates. Even if at first you can run your business in harmony with a family member, there’s no guarantee this peace will last. It’s best to have a frank Michael Best examines the pitfalls of working with family members, and how to negotiate them discussion before entering into a business relationship with any family member. Potentially contentious confrontations may be avoided if everyone is apprised of typical small- business challenges before they arise – ie, long hours and circumstances that might necessitate belt-tightening at home. If the business relationship proceeds after all the cards have been laid on the table, it will do so with a better chance of success. If it doesn’t proceed, this may be disappointing, but you will likely have avoided a long, drawn- out, acrimonious and damaging relationship that could permanently wreck a small business and a family. Learning the hard way My suggestions on how to handle family members in business relationships are born out of two unfortunate experiences. In both cases, we focused on the benefits and neglected to properly explore the challenges and pitfalls. Most importantly, we didn’t have a roundtable discussion with everyone involved directly or peripherally (particularly spouses). I now know that this discussion is essential. Subject family members to the same scrutiny and careful consideration as any other would-be employee or business partner. In fact, you should probably subject them to more – remember, you’re not just getting the family member in question. You’re also getting the family members holding axes they won’t hesitate to grind at the first sign that not everything is coming up roses. Who’s in the family tree? Spouse Spouses commonly own small businesses together. While I’ve known