Three Recommendations to Maximize Free Cash Flow for Family Businesses
The biggest challenge for family businesses is team management.
A family elder may have built a business on solid foundations with great effort in the past. However, its sustainability does not seem possible.
A study conducted by Deloitte among family businesses showed that the average lifespan of family businesses in Turkey is 25 years. This is not enough time for a company to make a meaningful contribution to society.
The reason for the short lifespan of family businesses in our country is that companies are established with short-term tactics rather than long-term visions. Those who set out with long-term visions may unexpectedly disappear because they fail to calculate the valleys of death in business management.
Business management is like a long and complex puzzle. Today, we want to offer you three guaranteed recommendations for family businesses to move forward with sustainable prosperity. By applying these suggestions, you will experience your family business gaining momentum and being able to look to the future with more confidence.
Three Guaranteed Recommendations for Family Businesses
- Make hiring decisions based on performance, not emotions: Prioritize family members who are technically skilled and have leadership abilities, rather than focusing on family politics. However, this person may not always be your son or daughter.
- Do not bring family matters to work, and do not bring work matters to family: Clearly defining the boundaries between work and family will bring peace and success in both areas.
- Delegate business processes to professionals: Manage business processes that affect your cash flow by leaving them to qualified white-collar professionals. You don't have to solve everything within the family.
Reserve your spot now for the BCC Scaling Workshops starting in December 2024. Don't miss the opportunity to learn firsthand about winning team-building strategies and practices, as well as delegation methods, from other family businesses or successful company managers!