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Family business: Governance

Family business: Governance

Setting your family up for success

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Perry B. Muhlbier

Family Enterprise Advisor, KPMG Enterprise

KPMG in Canada

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Family business governance

Running a family business is a juggling act. In order for a business to grow and prosper, the needs of the family business must be balanced against the demands and expectations of family members. If a good governance structure is not in place, this can be hard to do.

When you get right down to it, good governance is about open communication and effective decision-making. To help facilitate this, it is essential to have an optimal governance structure in place before problems arise. When appropriate governance structures have been established, business decisions and family relationships can be enhanced. Most importantly, the risk of significant conflict is reduced, which in turn can help your family business grow and prosper instead of flounder.

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