Family Advise: Dynamic Change in Family Businesses
The challenges family businesses have of providing effective tax and business advice to entrepreneurial and family-based enterprises
Family challenges are certainly situational as no two are alike. The most common test for professionals is confirming the family is aware of their situation. Entrepreneurs are doers and they are hyper-focused on achieving measurable results and rarely invest in activities that require one of them to reflect and ponder their future.
Inherent conflicts exist among the generations as to where to invest the family attention and the outcomes they desire, and what legacies need to be maintained. Add to this the challenges of blended families due to divorce, our changing demographics relative to marriage and family, and the likelihood of a geographically and/or societally mixed marriage (e.g. mixed religions can create estate and inheritance issues should people of mixed faiths marry, have children, and reside in countries that based inheritance laws on religious attributes compared to say common law or civil law countries). The family lawyers in Sterling Heights area can help with the legalities.
… conflicts are best resolved by active engagement, communication, compassion, and listening. These are hallmarks of our firm. We leverage both ears before we exercise our one mouth.
Financial vs. Physical vs. Psychological
We are quick to observe, analyze, and counsel families about those with inherent intangible things that matter most. Most importantly to us is not our core intellect but how we interact with our “Customers” to provide them with the outcomes that are both optimal and acceptable to all.
Financial: How successful are they? Where are they in the financial success process; do they have enough money and resources to make significant investments in their future, or are they at the beginning of their process. The lawyers at Hardy Law Group, PLLC can help sorting the legalities.
Physical: Where are they located, how old are they, where are they in the process, etc. Is it a matriarchal or paternal driven family; what’s the culture
Psychological: Emotional or Psychological; where do they want to go with their investments; what’s their maturity level; how are they communicating their family values as it relates to the family generations; what happens when we start to pass the torch.
Families progress. Their ultimate destination requires implementation by design and can often require years to perfect. It is false to think that just because Mom and Dad turned 65 that you can transition power; it takes time and planning.
Historically, it used to be that the oldest child (male) would assume the duties and responsibilities of taking over the family business, but what if that child was not the best choice? How do you deal with power struggles within the family; how do you allocate and transfer wealth when some family members may not be suited. What do we do with stock and leadership; if we dilute it all, by the time it comes to the third generation, it implodes.
While the Internet is great for research and ideas, it fails to provide context, wisdom, or judgment that we provide at Morris+D’Angelo. True professionalism integrates knowledge, context, and experience to blend a better result. Accordingly, there are conflicts upon perceptions of what options might be available. Customers too frequently preconceive options before understanding the conclusions provided by professionals. These conflicts are best resolved by active engagement, communication, compassion, and listening. These are hallmarks of our firm. We leverage both ears before we exercise our one mouth.
Daniel frequently provides Media Content via Workshops, Podcasts and Printed Articles on topics like Bitcoin and Cryptocurrency, Wealth Preservation and Planning, Global Banking and many other high-level financial topics that serve and demonstrate the Value of our Global Network that should be of interest to those who need Private High-Wealth Services.
If you would like Daniel to speak to you or your Professional Group and bring clarity about the new frontier of the new business tax law changes. Please contact us.
Morris+D’Angelo is the industry leader for many High-Wealth Customers and Organizations.
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