When only 30% of family businesses survive to the second generation and 10% to the third, it begs the question: Why do family businesses die so quickly? Since 92% of businesses are family-owned, they employ a vast majority of the country’s workers. The success of family-owned business affects everyone.There are several unique challenges in running a family business.
The most obvious is you can’t get away from coworkers at the end of the day because they are eternally tied to your personal life. The inverse of that is equally true. What falls out between you and your sibling at Thanksgiving dinner will ultimately impact your working relationship. It is this very merger of personal and business relationship which led corporations years ago to discourage romantic relationships and nepotism in the staff.