Forward for All in the Family, written by Joan Berta

Recently, a major bank, conducting a research project among small family businesses, asked an owner who had grown a $500,00 business to $15 million in 6 years - "Is this a professionally managed business, or is it run by the family"? Now, one might argue that the bank and the survey company simply hadn't worked out the language. So, I ask the reader, - if this survey was conducted among large publicly traded firms, do you think they might have worked out the language to be less offensive? I believe the question should have been phrased: "Is this company professionally managed by the family or by a non-family management group?" Does it not speak to the attitude of many about the "family business"? Family businesses in Canada generate 45% of the GDP, over 50% of the workforce, and over 70% of new job creation. It is small business, less than 500 employees, that is the backbone of our economy, but regarded as "not professionally managed" by many of Canada's large institutions.

Family business in Canada needs attention - more publications, more aggressive research, more positive attention from legislative bodies, and much more respect from Canadian institutions. Families in business struggle with the business issues of any business, as well as dealing with the issues of family, succession, intergenerational issues, transfer of resources, etc. They feel alone, as no one else has the exact same issues as they do. They often feel isolated; they are not a "force to be reckoned with". They often feel powerless, and don't know where to go to get help. It was this recognition that spawned the creation of CAFE, the Canadian Association of Family Enterprise. This not-for-profit organization works on behalf of families to help them find the resources they need and to help them understand that they are not alone. They bring positive attention to the needs of families in business and develop governance models that assist families to deal with the family challenges. They encourage publications such as this one that offers insights and resources for families that work together.

Most people cannot imagine conducting a performance review on their son, cousin, spouse, or parent. Most cannot understand the yoke of being the founder's offspring and having to deal with employee envy. Most cannot understand the strain of having the wealth and well-being of multiple generations resting on the shoulders of the family member President. I know most of the families that Alan has researched and interviewed in the following pages. Alan has done a thorough job in covering the issues that families face that are not an issue in non-family companies. In general, the media covers the controversial stories such as the Eaton and McCain's. Alan has taken the "average" family in business, told their story from a professional and personal perspective, and offered helpful suggestions at the end of each chapter to guide the reader through the family business minefield. His analysis is introspective and honest. His intent is to inform you about the issues that most do not consider being part of professional management of a company. In a family business, these issues are part of the strategic plan, management plan, business plan. This is what sets family businesses apart, and Alan has captured the essence of that separation. I urge you to read and understand, first with your head, then with your heart. Family business leaders must use both of these vital organs to manage their businesses. And, most do it with exceptional success. Thank you, Alan, for telling it like it is.

Joan Berta
Former National Executive Director
Canadian Association of Family Enterprise

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