Glossary

  • Advisory Council

    Any group of people outside the enterprising family that are trusted and consulted when important decisions are being made.

  • Communication

    Bearing in mind your message and environment when communicating with family members to avoid misunderstandings, conflict, and inappropriate behavior.

  • Entitlement

    The governance decision that members of the family will naturally inherit ownership or leadership within the enterprise.

  • Genogram

    A family diagram (tree) that maps out your family and their involvement in the family business

  • Governance

    The process of planning, developing, and implementing policies and structures within the family business. Ex: Advisory Council

  • Fair Process

    The governance structure where the enterprising family will enforce a system of meritocracy rather than entitlement.

  • Family Business Advisor

    Any person outside the family business that is trusted and consulted when important decisions are being made.

  • Family Business Roles

    Often categorized into ownership/management/family, family business roles are any role played by a member of an enterprising family. Ex: Mother, Chief Emotional Officer.

  • Innovation

    Bringing big new ideas and opportunities for growth and development to the enterprising family.

  • Intrapreneurship

    Applying entrepreneurial activities within the family enterprise, specifically encouraging the next generation to innovate within the family business. Ex: diversifying the product line

  • Leadership

    Refers to any role in the business or family where the member has the skills, respect and expertise to influence change within the family or business.

  • Legacy

    Creating an honorable effect and memory around the family enterprise that will live on.

  • Life-Cycles

    A natural evolution of growth that can be applied to the enterprise and the enterprising family.

  • Mentorship

    A two-way relationship that enables and encourages personal development, often between family members within an enterprising family or with a knowledgeable non-family contact.

  • Meritocracy

    The governance decision that members of the family will naturally inherit ownership or leadership within the enterprise.

  • Ownership

    Being an owner is more than just holding shares to a company, it is sharing the vision of the company with the intention of long-term success.

  • Philanthropy

    The act of giving back, which often contributes to building a legacy.

  • Succession Planning

    The planning process for a successful integration of the next generation into the enterprise and transitioning of ownership and leadership.

  • Transitioning Ownership and Leadership

    The process of incorporating the next generation into the enterprise to shift responsibility of ownership and/or leadership. This is an important step in ensuring the business is successful in growing through life-cycles. It is essentially the execution of the succession plan developed.

  • Wealth

    The accumulated value of both tangible and intangible resources, financial or other.

Can't find what you’re looking for? Send us your questions!