Freeing the shackles of family business ownership

Copyright © 2002 Family Firm Institute, Inc.Ownership and management succession are recognized as defining processes for family businesses worldwide. Through the generations, as the family tree spreads, shareholdings become more dispersed, with no guarantee that all family shareholders will have the same degree of commitment to, and interest in, the family business. This paper discusses factors influencing the outcome of external and internal challenges to ownership of two interrelated Australian family businesses—one in its fifth generation, the other in its third. It concludes with guidelines to allow for effective and timely ownership transfer for those wishing to realize capital or retain control of their inherited investment.Jill Thoma