Family businesses or Partnerships?

sgdadu Level 1

September 27, 2018, 9:59 am

97

Write the reason you're deleting this FAQ

Family businesses or Partnerships?

Some big businesses are owned by certain families, like the Johnson's family business. also we have businesses which are co-owned in form of partnerships. Both of these business types have their own advantages and disadvantages. In my view, family-owned business tend to do extremely well than co-owned businesses, and the former run more smoothly with less issues. what is your view in regards to this subject?

Comments

Please login or sign up to leave a comment

Join

jaymish

jaymish

I would rather a family business but my nuclear family not my extended family. I believe in legacy. I want to leave something for my children and my children's children. So I prefer to build something and I want my kids to watch me as I grow it. I want them to know that this is a business for our family, I want them to work in it and learn it and to one day run it, even if they want to pursue other interests. I choose family business.

6 years ago

Are you sure you want to delete this post?

jeffreyjose48

jeffreyjose48

I think family businesses are good than partnerships. You are familiar with your family members. Whereas with partnerships you will have to know them more. You need to know if they could be trusted or not. But with your family you have a lot of similarities.

Similarities in terms of character traits and attitudes. But with partnership, you still have to background check. Check if they are okay to be with. Can they be trusted with money?

6 years ago

Are you sure you want to delete this post?

Youngshark

Youngshark

You are forgeting that in most patnerships you will have a difference in strengths and weaknesses. This is opposed to family dealings where you might all be used to the same things. Differences are great in business since they help to bring different perspectives and as such an even stronder enterprise.

6 years ago

Are you sure you want to delete this post?

jetselle

jetselle

I agree with you. Not at all like regular laborers, relatives working at family firms will contribute their own funds to guarantee the long?term accomplishment of the association. This could mean contributing capital, or taking a compensation cut. This favorable position comes in especially convenient amid testing times, for example, amid financial downturns, where it's important to fix the belt or by and by languish all together over the business to survive.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

Me too. It's better to leave something positive for the next generation. A business is definitely something useful. It will give them their own means of income once you pass down your legacy.

6 years ago

Are you sure you want to delete this post?

jeffreyjose48

jeffreyjose48

Yes. You are right. I agree with you. Family business could be one of the legacies that we can pass on to our children. They can have the means of income.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

It's also something they could grow and pass on. Many families have collectively made their own mark in certain places. Especially, businesses in the food industry. So many Philippine brands were started by families.

6 years ago

Are you sure you want to delete this post?

vinaya

vinaya

I have some experience with running a family business. About 7 years ago, I partnered with my brother to launch a restaurant business. I was a sleeping partner and my brother was a working partner. sadly, we did not make money, therefore, after 3 years we sold our restaurant. Currently, I am running a dairy business with my father and brother. Sadly, this business is also not going very smooth.

6 years ago

Are you sure you want to delete this post?

jeffreyjose48

jeffreyjose48

Today I had a privilege of attending a business meeting. Its a partnership not a family business. They will compare their sales alone and with business partners.

6 years ago

Are you sure you want to delete this post?

NesMarcos

NesMarcos

I would have to agree with you on this. Family businesses are a lot better than business partnerships. One of the benefits of a family business include long-term stability, trust, loyalty and shared values. Family members are far more likely to be there in the long run than outsiders who might bolt the first time a better opportunity presents itself. It should be noted that family-owned businesses seem to enjoy the extra cachet among customers; the personal touch appeals to customers, suppliers, and circles of influence. And a family-run business tends to have lower starting costs because participants may well work for free or for little compensation until things get up and running. However, not all on positive points, of course. There are also negative points and one of them is the 'family rivalry.' If this will be avoided and be manageable, family businesses will be better in all aspects.

6 years ago

Are you sure you want to delete this post?

stbrians

stbrians

Family busuness is alright to me. Though the business is family owned we should still get involved in signing of legal requirements so that you know the continuity of the business and how profits should be shared.

6 years ago

Are you sure you want to delete this post?

anchoreztin

anchoreztin

I should take note on this comment. To make your family members as your business partner is indeed tricky. There should be a line between professionalism and being casual. Also there should be a clarification about the relationship: when to be business partners and when to be family members. I like the idea that everything should be documented and in paper.

6 years ago

Are you sure you want to delete this post?

stbrians

stbrians

We are living in a life where people are sly. We become family in the house unless we take time to discuss business. We should know how the business is run and how profits should be shared. In case of breaking up what each person should have. This is on paper and legal. Other family matters remain family

6 years ago

Are you sure you want to delete this post?

anchoreztin

anchoreztin

That is one factor why I prefer my business partners is from my IMMEDIATE family member because in the end, family is family. I am lucky because I am secure with my relationship with my family and we do not have a problematic kind of relationship. But I still consider the legalities and documentation during business partnership. The purpose is not to disrespect or trust issues but protection for both parties.

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

I would choose a partnership over family business. In family you have limited words to say to avoid the feelings of you might hurt the member of the family. Many hindrances also when it comes to family business that something that all should be agree or needs an approval of all members compare to partnership,you can say whatever you wanted to say either you hurt the feelings of your partner in the business.

6 years ago

Are you sure you want to delete this post?

anchoreztin

anchoreztin

I understand where you are coming from but I believe that family members are better than to have partnership to be your business co-members. The hindrance of having your family members could be avoidable if there is a certain professionalism and formality during work and outside work. Also it is better to have feelings that is not so good with family members than to have it coming from non bloodline related.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

There's in strength and weaknesses in both. Families have a better time adapting to each other since they're already familiar with each other's attitudes. I guess it's more comfortable for others to say negative stuff to other people.

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

Yeah definitely both has advantages and disadvantages. It is all about what we want between the two at the end of the day.

6 years ago

Are you sure you want to delete this post?

romyter013

romyter013

I so agree on this one. It's true that we are so very careful not to hurt their feelings because we love them and we don't want to start any issues between any from the family members. So in short so many things to consider when choosing family as a partner from business. Right, better choose a partner and have a contract, so you both know your rights and not to worry if you both hurt your feelings because you know business is business and emotion is not included in the contract.

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

That exactly what am saying. Choosing family business requires so many emotions and things to be considered compared to partnership where both of you are not related so less drama in the end.

6 years ago

Are you sure you want to delete this post?

ElectorAlexande

ElectorAlexande

I don't support your view in choosing partnership over family business, both family business and partnership will always witness a disagreement but its trust and understanding that help solve every thing and family have more understanding than people you go into partnership with. Your family are people you have spend almost half of your life with so you can easily settle things with them than the other party.

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

Yeah it is true but all of us have the same views and reasons when it comes to what and whom we gonna do a business partnership. I have a strong reasons and experienced about it that is why I chose to do it to others than my family. I did partnership before with one of my siblings and things was turned into something that I couldnt imagine why it was happened.

6 years ago

Are you sure you want to delete this post?

ElectorAlexande

ElectorAlexande

Yea what you said is true but research has shown that family business progress more than partnership, the richest family in the United States today started a family business which has progress too far like the Walmart.

6 years ago

Are you sure you want to delete this post?

Kakashi2020

Kakashi2020

I would have to agree that family businesses tend to be more successful than partnerships because family businesses are run with a common goal by all members of the family while in a partnership there's someone who's always greedy and in my experience there's always a problem because each partner tends to have his/her own agenda to bump each other off which you don't see in a family business because it's being controlled by a family head.

6 years ago

Are you sure you want to delete this post?

vinaya

vinaya

Most of the big business that we see in various countries and cultures are actually family business. Even in my home country, most of the big businesses are family business. family business seem to be more successful because they run the business just like running the family, there is a lot of love and care.

6 years ago

Are you sure you want to delete this post?

anchoreztin

anchoreztin

Family business BUT it has to be IMMEDIATE family members partnership. Me and my family has a strong family tie and we support each other. I can say that I am secured to partner with them than with others. I want a simple life and I am always aiming for the safe side especially if business is involved. They say if you want to make it big in the business world, you have to be a risk taker. I can only be a risk taker if I am sure with the people around me than risk my all for people I am not sure.

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

Yeah It should be a immediate family. Family business is better compared to partnership because in the first place family is a family but I guest I am more comfortable in doing it with others.

6 years ago

Are you sure you want to delete this post?

deejaycee

deejaycee

I would have to choose family business. As the quote says, blood is thicker than water. Your family will always be there no matter what happens to the business. I believe that family support and family bond is stronger that friendship or partnership. Don't get me wrong. Friendship bond is also strong. But if we consider things in general, you'd have to trust your family.

6 years ago

Are you sure you want to delete this post?

Youngshark

Youngshark

True at the tiem of trouble family will likely stick around more than a bunch of business partners. They will also assist in handling the situation from a perspective of dealing with whatever personal issues one may have and not just for profit. Sometimes businesses succeed due to the presence of strong bonds between the people running it such that they act as support frameworks for each other.

6 years ago

Are you sure you want to delete this post?

rlpzbeermoney

rlpzbeermoney

I prefer family businesses in general. I just like the overall feeling of having a family serve you. It's giving off these business I've observed in Asia. A partnership just seems like a contract between two people. Definitely more of an American vibe. But if you're going to say I'll do a business with my family, I'll pass. Not all families are close and chummy chummy with each other.

6 years ago

Are you sure you want to delete this post?

beerthooyah

beerthooyah

Family business is a better choice for me. Having family business provides stability if you are committed in doing a business. If a business is run by a family, I think that they are more committed since the needs of the family are at stake. Family members are flexible since they are willing to wear several different hats and take on other tasks in order to ensure success. Family run businesses focuses on long term progress which enable them to build a long and lasting legacy for their next generation to look up to.

6 years ago

Are you sure you want to delete this post?

mitan143

mitan143

I prefer to choose family business because you will be very comfortable if you run a business with your family members. It is less risky but sometimes family business doesn't get really successful all the time especially if you have a little misunderstanding with them. I still prefer family owned business since I have good relationship with them and it is more run a business with them. You will get a lot of support from each other and there's a higher chance that it will turn into a successful business.

6 years ago

Are you sure you want to delete this post?

Chinet23

Chinet23

I've tried business partnerships. It didn't work well. It's hard to always work and coordinate with someone because of different perspectives. I think it can work with some people but for me I prefer to be on my own. But if I were to choose over partnership and family business, I will choose family business because at the end of the day, you are still family and you will always work towards the best interest of the business.

6 years ago

Are you sure you want to delete this post?

romyter013

romyter013

I've encountered partnerships and family involved with business. If the family would like to start a business as their trademark, why not - as long everyone can do their part to make their business last, they can go for it. The only problem that I can see on this is when one of the family member doesn't want to cooperate and and they want is to command and just earned, I don't see any future on this one. When it comes to partnerships, It was okay too but need to make sure that you know the person that well before you waste your money to fraud people.

6 years ago

Are you sure you want to delete this post?

jayjaydimson

jayjaydimson

Of course, I will choose family business, because family comes first for me.

6 years ago

Are you sure you want to delete this post?

edencaga

edencaga

I would rather go with family business than partnerships with others. Family business is more secure than partnerships I think especially when money involves. Some folks may encounter some problems like their business partners run from them and they don't have plan on coming back only to find out they were scam. I also think some folks are having a hard time on cooperating with your plans and perspective so sometimes it may not work so I would go to family business. There were families were in they successfully run their business so I guess its more convenient to choose family over partnerships when it comes to business but it depends.

6 years ago

Are you sure you want to delete this post?

mdayrit

mdayrit

I also think family business is better than partnerships. If you are doing business within the family, you can atleast be at ease that they will only do what is best for all of you. Besides that, you know each other well. If there are misunderstandings and problems, you know that you will always find a way to fix things out together.

6 years ago

Are you sure you want to delete this post?

sgdadu

sgdadu

I like this reasoning. It is easier to settle family issues than issues involving non family members

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

I prefer family businesses. They're much easier to manage since you can just talk to your family members. Partnerships can sometimes be difficult if the other person is too busy. Also, you won't be afraid to speak your mind with family members compared to someone else.

6 years ago

Are you sure you want to delete this post?

sgdadu

sgdadu

Partnerships have an advantage of combining and sharing ideas among the partners. This could lack in family businesses thus negatively affect the performance and possible innovativeness of the venture. What about this?

6 years ago

Are you sure you want to delete this post?

mark8625

mark8625

That is right. Many things to do in terms of business with partnership. More things to share and explore with the partnership.

6 years ago

Are you sure you want to delete this post?

amelia88

amelia88

I might be the odd one out here but I don't know that I'd be too enthusiastic about a family business! I think often family businesses are continued on out of obligation rather than true passion, and I'd prefer to be in business with someone who wants to be involved, rather than feeling like they have to - but not really caring about it.

6 years ago

Are you sure you want to delete this post?

esteban123

esteban123

I also like the family business because of being popular nowadays and not so very hard to manage since you already know each other. I think it is one of the advantages of this type of business, they are really doing great and stay longer for a period of time. It is really a fact that it is very easy to run a business if you really know each other, you can easily address the needs of the family without thinking too much.

6 years ago

Are you sure you want to delete this post?

Kakashi2020

Kakashi2020

I believe that family businesses are more successful and lasts longer than partnership because of the bond and trust that each member has. Also most family businesses has a common goal and unlike partnerships, family businesses have a clear head figure or top dog which is followed by everyone.

6 years ago

Are you sure you want to delete this post?

Barida

Barida

Being in a partnership business is definitely going to work so good for me as someone that doesn't want any form of issues from the people that are living with me. I have come to notice that family business can flop especially when you are doing it with family members that are not passionate about your type of business.

6 years ago

Are you sure you want to delete this post?

amelia88

amelia88

Yes - this is my thoughts too! It can also see the destruction of family units if there are disagreements and so forth on the way to do things. Sometimes it's just better to separate work and family, otherwise things can end up getting pretty messy.

6 years ago

Are you sure you want to delete this post?

EfficientNinja

EfficientNinja

If your family knows how to handle and manage businesses, I think it's best to work with them. You can be open to each other since you are comfortable with them. Just like Chinese run businesses, they mostly pass their business to their children. They teach and train them how to handle money and businesses as they grow.

6 years ago

Are you sure you want to delete this post?

DenisP

DenisP

You make a good point about handing down teachings and training their children. When answering this question, I was looking at it from the perspective of starting an entirely new business, but never really thought about the people who hand down businesses from generation to generation.

You have some families who have been running the same business for decades, handing down skills and techniques down to each new generation, and those kinds of businesses are usually incredibly successful.

6 years ago

Are you sure you want to delete this post?

EfficientNinja

EfficientNinja

It's the only example that I can think of because most of the well-run businesses here in my country are owned by Chinese people. The local people here don't know that much about handling businesses because they aren't trained and educated to do those things.

I guess it doesn't matter if it is a partnership or a family business. As long as those managing the business are well equipped to lead it, there's a good chance the business will succeed.

6 years ago

Are you sure you want to delete this post?

DenisP

DenisP

I would honestly say that it greatly depends on the relationship with your family.

For example, if we’re talking about starting a business with close family members (mother, father, brother, sister, etc…) then I feel that the business is far more likely to the succeed. This is simply due to the fact that close family members understand each other better, and there is more trust involved.

On the other hand, if we’re talking about extended family, things can get a lot shadier. I’ve gone through several business endeavors with extended family members and the experiences were less than savory. There’s a degree of lack of trust and communication which ultimately results in a lot of negativity and inevitable failure.

It’s not the same for everyone, but I’ve seen it happen a lot of the time.

6 years ago

Are you sure you want to delete this post?

vinaya

vinaya

You are right, if the partners in your business are your father, mother, sister, brother etc. your business will likely to succeed more. I have seen this in my home country. Most of the top businesses in the country
are operated by family. Disagreement, especially om financial matter, is less likely to occur in the family business. In the partnership business cheating is very common.
However, sometimes family business may not succeed. That's because of limitation on proper knowledge and skill and taking business for granted.

6 years ago

Are you sure you want to delete this post?

ajahcuizon

ajahcuizon

I prefer family businesses because of its growing value to the family. When you work with your family, you will get to realize how important your business is. It is because you know that one of your family members worked so hard to grow your business, that's why you will take care of it too. Also, of course you knew your family well, you trust them. That is also a very big foundation for your business' success.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

That's what I like about it. You also have the advantage of them having your best interest at heart. You won't have to fear that they're only after the money or something like that. Their choices will always be for betterment of all concerned.

6 years ago

Are you sure you want to delete this post?

coolavender

coolavender

I guess this will all depend on the nature and capitalization of a business, among other factors.

If you're a licensed professional who wants to practice your profession, a professional partnership is the more preferred form because it has certain tax perks like the exemption of the partnership income from tax. It also enables each partner to benefit from the expertise of his/her colleagues.

When it comes to general businesses, it can be formed into a sole proprietorship, partnership, or corporation. The example cited, S. C. Johnson, is a private company, which means that while it is mostly run by family members, it has a formal structure for ownership shares, leadership, and decision making. While the ownership is limited to family members, it also enjoys the support of professional managers and staff. This may not be the case for many new businesses like mom and pop businesses with smaller capitalization.

Partnering with family members to set up a business has its share of challenges. It's great if you and the other family members are on the same page and each have something to contribute like talent or money but it can be messy when real life takes over.

6 years ago

Are you sure you want to delete this post?

overcast

overcast

I'd say the partnership business with legal formalities can run well. And another thing is that some of the time family business can run well too. I have my share of the issues with the business. Some family business run properly and you don;t have to stir the stuff over and over. You just have to set things up once and let things take natural course from there onwards. That way you can establish it but with partnership you have to mostly understand the partner and focus on profit.

6 years ago

Are you sure you want to delete this post?

superlicca

superlicca

Both have advantages and disadvantages and I cannot choose between family business and partnership since it will depend on the situation. I think it is also hard to manage a family business since all of the members should agree if you've come up with new ideas. Every member should have words to say. But the good thing about having a family business is that you can leave the business to the next generation.

6 years ago

Are you sure you want to delete this post?

jayjaydimson

jayjaydimson

I would choose family business, because it requires less effort because you will work together as a team, and also you can assure that your money will be in safe hands.

6 years ago

Are you sure you want to delete this post?

Martinsx1

Martinsx1

If your family are made up of trustworthy people, then it's definitely going to be a good idea to work with them because they will value the business very much as it's their own unlike when you get into partnership without someone whom you can't trust 100% with your money and business investment.

6 years ago

Are you sure you want to delete this post?

amelia88

amelia88

It’s really interesting to me that most people think that family businesses are the way to go! For me, I’ve had some less than trustworthy family members so I think maybe that’s what deters me from going down that route.

6 years ago

Are you sure you want to delete this post?

cmoneyspinner

cmoneyspinner

Family businesses were probably the very first businesses. Parents accumulate wealth and want to leave something behind for their children who will, in turn, leave it behind for their children and so on and so on. That's the "ideal". It doesn't always work out that way for a variety of reasons. Untimely deaths of the children. The children grow up and want nothing to do with the business. Parents don't manage wisely and the business fails. If family businesses do well it's no doubt because the family ties are very strong. Whether a business is built on a family line or not, successful businesses are the result persistent hard work and a desire to be productive and profitable.

6 years ago

Are you sure you want to delete this post?

overcast

overcast

I have seen family business working for many. And lot of parents set up a process which kids can follow. And some parents also make the kids get into the business as early as possible. This sort of approach of people, profit and product is always going to work for family business or any business for that matter. But I think lot of people need to get their head straight in the business for it to work.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

I agree. It can work if they get the children invested in an early age. But it also pressures them because they're forced to live up to expectations. So it's kind of a double edged sword.

That's why it's really important that the children know how to manage things on their own when the time comes.

6 years ago

Are you sure you want to delete this post?

NerdIndeed

NerdIndeed

I do agree. The problem lies when both parents pass away. If there's no legal will in place, who would inherit the business? I've seen family feuds because of this. One I can remember was siblings sued each other because of greed.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

That's crazy. But so true! I've seen many cases like this as well. Some got so bad that they got televised on TV or something.

This goes to show that money corrupts most people. Especially, if there's vast wealth to be gained. I hope more people decide to be selfless and share equally if other members are worthy of it.

6 years ago

Are you sure you want to delete this post?

NerdIndeed

NerdIndeed

I look forward to a day where it could happen. Where people are not consumed by greed and not take advantage of anyone due to personal interests. But as long as society dictates that having money is a form of social status, it will continue whether you're family or not.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

Yes, it's sad. But there's always goodness in humanity. So trusting our family members might inspire them to do better by us. After all, a family business is more than a means of income.

It's a legacy built by hope, love, and respect. Something to continued the future generations.

6 years ago

Are you sure you want to delete this post?

jetselle

jetselle

I would preferably run with family business than with others. Family business is more secure than partnerships I might suspect particularly when cash includes. A few people may experience a few issues like their colleagues keep running from them and they don't have plan on returning just to discover they were trick. I likewise think a few people are experiencing serious difficulties on coordinating with your plans and point of view so at times it may not work. There were families were in they effectively maintain their business so I figure its more helpful to pick family businesa with regards to business yet it depends.

6 years ago

Are you sure you want to delete this post?

Jeane

Jeane

Family owned businesses can do well only as long as the those who are in charge of the day to day management of the business have the "business acumen" needed to ensure the business doesn't fail. Or even if they are not good at the business end of things they should hire people who can ensure the businesses stay profitable. I say this because I've seen a number of family-owned business collapse because of poor management.

IMO I don't think a family owned business is better than a partnership with people who are aren't relatives of yours. Both have their cons and pros. Personally I'd prefer a business I own and run myself. Making decisions will be much easier.

6 years ago

Are you sure you want to delete this post?

NerdIndeed

NerdIndeed

I have experienced both before, and I must say that it will all depend on the character and personality that you'll be dealing business with, it doesn't matter if they are family or not. I tried being a partner on business before with my cousin's husband. At first, it was alright, and we get along. But as soon as the company made more, he wants to get a more significant share of the pie and took advantage of me. Bottom line, I will never do business partnerships anymore, I'll be a sole proprietor, so I have full control of the business.

6 years ago

Are you sure you want to delete this post?

Gilgamesh

Gilgamesh

I know that business partnership can make a huge capital and the chance is high that it will click because the two of you will manage the business. On the other hand, it is very hard to decide because you should consult each other before making a decision because you are not the only one who owns the job. As a result conflict is born and will kill the business. That's why I'll go for tge family business that can have a growth slowly but surely and our family and love ones can benefit through.

6 years ago

Are you sure you want to delete this post?

esteban123

esteban123

I think that partnership business is also a good choice if we will just handle it properly, there are really some advantages and disadvantages on it but it is up to us on how we will used it in a beneficial way. It is true that partnership can give us more funds because we have someone who is willing to take part on the decision and capital issues. The only problem here is that we cannot easily decide on our own because we have to consult our partner before doing any move.

6 years ago

Are you sure you want to delete this post?

HappyLady

HappyLady

I have often thought it would be nice to own a family business as it solves so many issues relevant for today. As long as it is viable, there is a job for family members and an inability to perform well can be covered by others in the family. It is possible also to choose whoever is best at the job to do that particular job. In a larger concern, it is harder to get experience and shine.

Of course, the success of a small family business rests on everyone wanting to be a part of it and some might find it limiting if they wanted to achieve other things in life.

6 years ago

Are you sure you want to delete this post?

Kakashi2020

Kakashi2020

Family Businesses tend to be more successful than Partnerships because of the bond that family members have with each other. I have friends who have a family business and their business has been existing for 50 years now. I do think that it's their family's common goal that makes family businesses more successful.

6 years ago

Are you sure you want to delete this post?

jayjaydimson

jayjaydimson

I will choose family business, because it's nice to work with my family then with someone I don't know, and I can assure that the business that I am helping is for our family success.

6 years ago

Are you sure you want to delete this post?

superlicca

superlicca

Family business is good as long as everyone is open-minded and cooperative. There might a conflict when it comes to creating new ideas. Some may agree and some may not. And if everyone cooperates and agrees with the same idea then you can achieve the main goal for your business.

6 years ago

Are you sure you want to delete this post?

Steve5

Steve5

I agree. That's why family business is great for those with similar mindsets. They can easily agree on stuff and make good decisions. Unity in a business shows strength. I'd like to have this quality in any sort of dealings.

6 years ago

Are you sure you want to delete this post?

theresajane

theresajane

I'll stick to the safer and more comfortable side, family business. Unlike partnerships, family business is a family affair, of course, everyone as a family takes part on the decisions and plans. You know really well whom you are doing business with and you know that you can deal with the problems that could arise as a family. Facing a challenge as a family is a great thing by itself, doing a family business, is challenging yet fulfilling.

6 years ago

Are you sure you want to delete this post?

jaybee19

jaybee19

I want to say both because I believe I can become successful with both partnership and family/blood-related business endeavors. However, if I would choose only one as the most possible to become successful, I guess I would choose businesses run by families/blood-related businessmen as they will never pull each other down because the downfall will always affect their family unlike when it's a partnership where your co-investor might leave you behind or will pull you down, although in some cases, most companies/conglomerate run by families tend to have internal conflicts between descendants.

6 years ago

Are you sure you want to delete this post?

jpk0007

jpk0007

In my view Family Businesses are more likely to succeed than the partnerships. First of all when it is a family owned business there is some amount of mutual trust involved. There is less friction between the decision makers and there is more flexibility in the decision making process.
I think many big businesses which are successful and are the leaders in there respective fields for years together are mostly owned by a single family for many generations.

6 years ago

Are you sure you want to delete this post?

theresajane

theresajane

I agree with you. The most important thing in building a business with co-ownershop is trust. It's rare to be able to build trust with partnership as you might feel doubtful at times. But with family, you know that if you go down, they will go down too. So, trust is more evident with family businesses.

6 years ago

Are you sure you want to delete this post?

Martinsx1

Martinsx1

Depending on the kind of family that one is in would be the deciding factor in making a decision on starting a family business or going with partnership.

Some family members aren't worth trusting, so in such situations, it would be better to deal with a business partner as you would both respect each other well.

6 years ago

Are you sure you want to delete this post?

NerdIndeed

NerdIndeed

I couldn't agree more. In my case, I have a sister who has problems in regards to her personality. Even if she's my blood, I would never ever entrust financial matters to her. She's just so...I'd instead do business alone right from the very start. If ever I will be needing partners, I'll carefully select them from a list of people that I utterly trust. Someone who stood the tests of time and never betrayed me.

6 years ago

Are you sure you want to delete this post?

vhinz

vhinz

Doing business with family or other people have both advantages and disadvantages. For me, the business will be successful if both you and your partners are knowledgeable on the business and are good in managing the business, people, and finances.

6 years ago

Are you sure you want to delete this post?

thejoyrevolutio

thejoyrevolutio

Family relationships can be tricky but I choose them over partnership. I believe doing business with your family can be an advantage or your downfall. But family is family. They will always have your back and they will treat you kindly at least for mine. No matter what type of business you what is important for me is the type of person you will be partners with. It doesn’t matter whether family or friends or nearly just an acquaintance what important is that person is someone you get along with, knowledgeable with the business and someone you can trust.

6 years ago

Are you sure you want to delete this post?

nrnlss

nrnlss

I think family business is better, since you've known your family all your life so you know what are there strength and weaknesses also you know who you can trust with this and that with your family.

6 years ago

Are you sure you want to delete this post?

theresajane

theresajane

I agree with you. Knowing the strengths and weaknesses of your family members helps a lot in dealing with them and running the business.

6 years ago

Are you sure you want to delete this post?

jayjaydimson

jayjaydimson

The family business is the best because you know the people who you will be working with. And you can work well because you will feel comfortable because they are your family.

6 years ago

Are you sure you want to delete this post?

esteban123

esteban123

I think that I would really give weight in family business because I am already confident and convenient with my family members to manage a certain business. It is a good form of business because we can have a lot of sources of funds, since family is being comprised by certain people or individual which makes it more great and effective in business purposes. I would really go into this type of business since it is more stable and reliable for my own opinion.

6 years ago

Are you sure you want to delete this post?

anyone01

anyone01

With regards to running within own family businesses, regularly the pressure on a private level is a lot better, communication may be very emotive, and the selection-making is likewise generally based on gut-sense. due to this it’s even greater it is essential to make sure that you’re assured that the business aligns together with your personal goals and aims.

6 years ago

Are you sure you want to delete this post?

EmpyL

EmpyL

We have a small business run by us 3 siblings. I could say that it is doing well and hoping it will do well forever. There are some disadvantages but mostly overwhelmed by advantages. We have ups and down but since we are siblings and we've known each other for a long time, dealing with any circumstances is a lot easier.

I haven't tried partnership with others yet, but definitely we will continue our partnership trying other kind of businesses.

6 years ago

Are you sure you want to delete this post?

GeorgeDr

GeorgeDr

In my opinion there are pros and cons to both type of business , but in the modern world I think partnerships are more likely to succeed or do better. We had a family business so I have some perspective. Yes In a family business things are more personal , you know your partners because they are your family and everyone has the same goal but things tend to get more ugly if a feud between two members occurs. The family tends to split and that happens to the business as well. Also partners aren't explicitly chosen because they are extremely competent at a skill but because probably they are better at doing that particular task better than anyone else , so that sometimes breeds incompetence.

Now on the other hand a partnership type of business will be comprised of more competent people , things are not as personal , but in a case of a dispute the business is not split , but the matter is solved on a business to person level. As a last remark , the formality of a partnership , something that the family business is lacking is a deciding factor to the success of a business.

6 years ago

Are you sure you want to delete this post?

emiaj55

emiaj55

If your family could be well organized and could work under one head then You could opt for Family businesses. My family on the other hand have different interests. Plus, We tend to compete with one another, wanting to be the best. So I for my case would opt for partnership-owned business. In this case, we are bounded by contracts, we would agree to work under one aim and we would have the same objectives.

6 years ago

Are you sure you want to delete this post?

focusedwriter10

focusedwriter10

A family business for me will be the best. I once tried partnership business with a friend and after two years of operation, we had to close it. All in all, it does not mean that partnership businesses are bad. You only need to operate under set rules and sign legal documents.

Also, all businesses, whether family or partnership hard work and trust are essential for the success of the business.

6 years ago

Are you sure you want to delete this post?

cmoneyspinner

cmoneyspinner

There was once a time when businesses were either family-owned or best friends got together and partnered to start a business. It was the way to get started. Every once in a while a business owner might take an employee under their wing and mentor them to take over the company. I don't think things have changed all that much for small or medium-sized businesses. For large multi-national corporations? Well! That's a dog-eat-dog world and a rat race for sure! It's whoever makes it the top!

6 years ago

Are you sure you want to delete this post?

Bravosi

Bravosi

Well obviously it's a double sided situation.
On one hand you can trust family and it feels much more secured. On the other, a family member can be lazy and not working, and then you start having confused feelings about confronting them with it. So I really don't know. Myself I prefer to avoid both. I'm more of a solo player in this regard. Trusting in only myself.

6 years ago

Are you sure you want to delete this post?

Corzhens

Corzhens

My brother-in-law put up a family business to be owned by him and his wife and also his 2 children. But a former colleague who is good in selling came in the way so it became a partnership. When they registered the corporation it was co-equal in ownership that included their wives and families. When it came to a point that the disagreement couldn't be settled, they had to dissolve the company and my brother-in-law continued as a proprietor. Now he is saying that if he made the business a family business it would have been easier to manage.

6 years ago

Are you sure you want to delete this post?

milaniagreen

milaniagreen

Better think about your own investments. This question can bring you much more profit. The main thing is to study all the nuances in detail, and this service https://zignaly.com/ will help you start right.

3 years ago

Are you sure you want to delete this post?