This was a sixth generation family business with 80 cousins across three generations owning shares in the business. Communication was a challenge, information was inconsistent and they had never agreed a common purpose. Some were interested in long-term capital growth while others were more reliant on a regular income, and it was becoming increasingly difficult for the board of directors to manage family members’ individual demands and expectations.
We worked with this client to align the disparate family members and their vision for the business. Through carefully facilitated discussions and a transparent consultation process, the family put together a Constitution recording their agreement on ownership guidelines, family communications and the components of solid governance to manage the relationship between the family shareholders and the business.