It’s All Relative: 4 Ways To Avoid Conflict In A Family-Owned Business

If you run a family business, you have to be careful to avoid hurt feelings. One wrong move and you may inadvertently start a family feud. That doesn't mean you should avoid running a family business. It just means you need to take a few precautions. Here are four easy ways to avoid conflicts in your family-run business.

Keep Tabs on the Payroll

You own a family business. That doesn't mean you have to put all your family members on the payroll. Adding family members to the payroll who aren't active participants in the business can lead to problems. This is particularly true if your business encounters financial difficulties along the way. Before you put a family member on the payroll, make sure there is a job opening for them and that their responsibilities are clearly defined.

Keep Things Equal

If you employ both family and non-family members, it's important that you treat them all equally. Non-family members should not be held to either higher or lower standards. For instance, non-family members should feel that pay raises and advancements are available to them regardless of their relationship status within the company. Likewise, family members should be held equally accountable for their behavior within the company.

Find Healthy Ways to Avoid Marital Conflict

Running a business with your spouse can be difficult, especially when it comes to business-related stressors. Problems at work can quickly overflow into marital problems if you don't have a plan in place to keep things separated. Try to devise healthy ways to avoid marital conflict. One way to do this is to take separate cars to work. This will allow you the opportunity to unwind and turn things off before you get home in the evening.

Another simple way to separate your business from your marriage is to turn the business phone off on the weekends. By turning the phone off, you and your spouse will be able to concentrate on family instead of business during family time.

Don't Overlook the Benefit of Family Councils

When it comes to business decisions, differences of opinions are going to arise. When they do, they can tear a family apart if you don't have a way to resolve them quickly and fairly. That's where family councils come into play. Family councils are beneficial when it comes to reaching major business decisions where each active member wants to be heard.

You have a successful family business. You want to keep it that ways. The information provided above will help you avoid conflict in your family-run business. If your business is experiencing a problem that can't be resolved with these methods, you should contact an attorney that specializes in family business mediation. They can help you resolve your issues so you can keep your business and your family happy. Click here for more information about family business resolution.


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