Feedback Phase – Family Business Assessment

Feedback Meeting
Once the initial evaluation is complete, Dr. Daniel works with the key owners to determine who will be invited to the feedback meeting. Since each family enterprise is unique, the composition of those attending the feedback meeting needs to be tailored.

Recommendations for Action
Dr. Daniel presents his observations and an integrated set of recommendations which address both the immediate and longer-term strategic needs of the enterprise and the family These recommendations include exit strategies, the advisability of keeping the business in the family and the family members in the business and succession planning. The recommendations focus on three key factors:

Management: The management needs of the firm are addressed, including recommendations for implementing a successor  training track, developing clear criteria for promotions (including the CEO position), creating management task forces or committees to plan for the growing needs of the firm, implementing a compensation committee and developing management depth or redundancy.

Ownership: Recommendations are made regarding the need for two-way liquidity (the ability to buyout reluctant owners and develop access to necessary funds); creating or modifying true outside boards and advisory panels; and the advisability of keeping the business, selling some or all of the business, or merging with other family-held entities or outside firms. These recommendations usually include a referral to the appropriate financial advisor.

Family: Specific recommendations are made to assist the extended family in creating better boundaries between family and business; implementing methods to permanently reduce conflict between parents and their adult sons and daughters, as well as between brothers, sisters, and cousins.

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