The topic of Family Governance continues to evolve, and is slowly but surely becoming its own field.
This video is about how important it is for Family Governance to evolve within a family, if it’s gonna have any chance of “sticking”.
When an idea like family governance becomes fashionable, people sometimes try to find ways to sell it to others, to make money from it.
But when governance is thrust upon a family, either by a family leader from above, or by “experts” from outside, it’s doomed to failure.
It really needs to be “FOR the family, BY the family”.
You can’t just buy governance off the shelf; it isn’t a product.
Families transitioning their wealth from one generation to the next need to invest time and effort into developing the governance structures that will help them achieve that goal.
It needs to evolve from somewhere, but where?”
Start with a Family Meeting
You really need to call a family meeting and throw the subject on the table.
Someone from the leading generation has to call everyone together and make it clear that they want to make sure that the family will be prepared to eventually take over the family wealth in all its forms.
They should explain that they’d like to ensure the smoothest transition possible and that this is the beginning of a series of regular meetings that will be used to establish the “who, what, when, where and how” all that is gonna happen.
The first meeting shouldn’t be long, because family members will need time to adjust to this news.
But please don’t leave until the next meeting has been scheduled for a couple of months down the road.
Governance is all about three major questions:
· How will we make decisions together?
· How will we communicate?
· How will we solve problems together?
You can’t expect the answers to just materialize without any work.
The good news here is that just figuring out where to begin and how to start the governance process, so that you can see how it all evolves, is the best way to ensure that it will actually work.
It’s a PROCESS, and how you get there is the most important part!
Get moving, keep going, and watch the evolution.
That’s all for now, I hope you got something useful, see you next time.