Family Business

My journal is centered today on family business. Family businesses are increasingly being viewed as distinctive and economically significant business entities and for that matter It is important to construct an equitable business ownership plan for a family business because the business ownership plan specifies how the entrepreneur will transfer the business to the next generation. family businesses play a significant role in every countries economy and approximately 90% of the businesses in the United States are family owned and controlled. It also contribute significantly to the gross domestic product (GDP) and half of total wages paid of almost every country. The ownership plan may include financial arrangements and the determination of where all other assets will go and family membership in the business.

Commitment is one advantage of family business; Family members involved in running the business often are more committed to its success, because they all have a stake in seeing the business prosper. They invest most of the time to get the business off the ground, so they’re usually motivated to do what it takes to help the business survive and grow. Families normally places importance on each member's personal needs despite their business commitments.