The backbone of a flourishing first-generation family business is often the vision, tenacity, energy, and experience of the original, collectively with its ability to adapt since it does not have complex governance structures. However, as the family, and the business, grows, a family business’ strengths can become its most significant weaknesses if it is unable to evolve beyond the original owner.
The objective of our family business continuity services is to strengthen further the synergies between capital and management, which are inherent to family businesses. The ultimate aim is to build stable structures and systems, ensure the smooth transition to the next generations and their future sustainability.
The reasons for using our family business continuity services are numerous and diverse. However, usually, the main initial factors motivating family businesses to seek our services include:
Alignment of interest.
Privacy and confidentiality.
Improved strategies and governance systems.
Execution of bold growth strategies within the markets in which family businesses operate.
Potential for higher returns.
Development and empowerment of talent through training.
Safeguarding the interests of the next generation.
Separation, or at least a distinction, between the family business and the family’s wealth.
We recognise that every family business has its history, culture and family setting. With relevant experience and competencies across various areas, we provide a holistic service that is tailor-made to the needs of our clients, by adopting an independent approach to the differences in personality between the generations and the strategic direction set by the stakeholders.
We help our clients overcome the challenge of passing the business from one generation to the next; make informed investment decisions; and assist in leadership appointments. In addition to acting as the external advisory council or part thereof, we assist in:
Getting the Board to champion sustainability;
Incorporating sustainability into strategic plans;
Focusing on creating long-term financial value;
Setting and developing financial structures and reporting; and
Advice on the family constitution, foundations and trusts.
Setting strategic objectives;
Identifying growth strategies:
Amelioration of current service offerings;
Business and market assessments; and
Tap emerging markets
Developing a governance framework:
Composition of the Board;
Organization structure and reporting lines;
Internal control systems; and
Policies, processes, procedures, and code of conduct.
Developing professional and technical competences:
Analysis of training needs;
Development of leadership skills; and
Enhancing operational performance:
Alignment of the operational plan with strategy; and
Advice on operational transformation and process improvement.
Ensuring succession planning:
Distribution of voting rights and dividends; and
Drafting of shareholders’ agreements.
Assisting in estate planning;
Developing robust financials:
Capital management and investment planning.
Assisting in tax planning and management:
Reduction of the tax burden;
Compliance with tax reporting obligations;
Tax-efficient acquisitions, restructuring and disposals; and
Cross-border tax opportunities.
Assisting in the establishment of funds for philanthropy;
Assisting in building family businesses’ commitment to energy efficiency and natural resource management; and
Assisting in social impact investments.