About a month ago I attended CAFE Calgary‘s Signature Event. It was great to see so many families in attendance and to hear the stories of the winner and two runners up of the Calgary Family Enterprise of the Year award.
After the awards, Thomas William Deans spoke on his book Every Family’s Business -12 Common Sense Questions to Protect your Wealth. It was fantastic. Thomas brought up some interesting thoughts to ponder.
The key point was that every family business should be up for sale. Up for sale to an outside investor, up for sale to one of the shareholders and up for sale to the next generation. I think the largest takeaway was that:
Everyone who leads your family business should have invested into the success of that business – at their own cost.
Does your next generation have ownership because you gave it to them or because they bought into your company? Are they invested both personally and financially or are they just carrying on your legacy?
I recommend checking out CAFE Edmonton’s Signature Event on March 18, 2010.