You are currently viewing Bridging the Generational Gap: Understanding the challenges of a Family Constitution – Part 2

Bridging the Generational Gap: Understanding the challenges of a Family Constitution – Part 2

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Family Advisory Services tailored to your needs

At Origin Group’s Lumenrock, we specialise in providing Family Advisory Services aimed at crafting comprehensive financial plans that meet our clients’ unique needs. Our primary goal is to help families establish their identity, distinct from their business ventures. One of the key ways we achieve this is through the creation of a Family Constitution.


What is a Family Constitution?

A Family Constitution is a formal agreement that delineates the rights, values, responsibilities, and rules for stakeholders within the family business. It sets out plans and structures to address potential scenarios that may arise during the business’s operation. By having a Family Constitution, all family members are well-informed about the decision-making processes that affect them. It serves not only as a document but also as a tool to enhance effective communication across generations.


Understanding the challenges

The decline of family businesses by the third generation is often due to various factors. Successive generations may lack a clear understanding of the founders’ intentions. Additionally, inadequate personnel in critical roles, poorly defined occupational structures, and a lack of accountability and consequences for stakeholders can present significant challenges. Recklessness or greed in later generations can further jeopardise the business’s continuity.


Shape your family’s financial legacy with Origin

At Origin Group’s Lumenrock, we recognise the uniqueness of each family. Our mission is to help you develop a holistic financial plan that resonates with your family’s values and secures a prosperous future for generations to come. We assist in creating a Family Constitution that offers a robust governance framework, ensuring smooth transitions and sustained success. Together, we can shape your family’s financial legacy, ensuring its prosperity for years to come.

Contact us today to learn more about our tailored Family Advisory Services and start building a secure and prosperous future for your family business.

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