Summary

In this episode of the Family Business Podcast, Russ Haworth speaks with Annamaria Koerling, founding partner of Delfin Private Office, about the evolving landscape of family offices. They discuss the importance of governance, the unique challenges of succession planning, and the role of philanthropy in fostering family cohesion. Annamaria emphasises the need for tailored governance structures that reflect each family's values and purpose, and the significance of deliberate practice in maintaining open communication. The conversation also highlights the benefits of involving external advisors to navigate complex family dynamics and ensure effective decision-making.

Takeaways

Family offices provide comprehensive services to manage wealth across generations.

Governance structures are critical for the success of family offices.

Each family office is unique, requiring tailored governance solutions.

Succession planning is a major concern for family offices.

Philanthropy can enhance family cohesion and engagement.

Deliberate practice in family conversations is essential for success.

External advisors can provide valuable perspectives and support.

Effective communication of values and purpose is crucial for families.

Families should consider the impact of relocation on their operations.

Creating a family bank can promote entrepreneurial spirit among family members.

Chapters

00:00 Introduction to Family Offices

03:03 The Importance of Governance in Family Offices

06:00 Tailoring Governance to Family Uniqueness

09:04 Critical Governance Considerations for Family Offices

12:01 Impact of Relocation on Family Office Operations

15:11 Succession Planning and Next Generation Involvement

17:58 Promoting Entrepreneurial Spirit in the Next Generation

20:51 The Role of Philanthropy in Family Cohesion

25:00 Deliberate Practice in Family Conversations

27:53 The Value of External Advisors in Family Governance

Given the recent changes in legislation announced in the Budget, I am re-releasing this episode to highlight the value and importance of Lifeboat Drills for your Family Business.

An actual lifeboat drill is essentially a practice evacuation of a ship using the lifeboats on board. I am not advocating everyone rushing out and practising evacuations, however it is the purpose of a lifeboat drill that is important here.

The reason that lifeboat drills are important for sailors is that if and when they need to use the lifeboats they want the reassurance of knowing that:

1. The lifeboat does the job it is there to do; and
2. If anything does go wrong that it is not at a time of emergency and you can do something about it.

It is this principle that I am advocating.

A lifeboat drill for your family business is essentially looking at a number of 'what if' scenarios that allow you to test that the legal, financial and business procedures you have in place are fit for purpose.

Work With Russ

If what I have spoken about in the show resonates and you want to discuss how I can help you and your family business drop me an email: russ@familybusinesspartnership.com or head over to www.familybusinesspartnership.com

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Summary

In this episode of the Family Business podcast, Russ Haworth and Matt Braithwaite discuss the critical importance of succession planning for family businesses, drawing on recent research conducted by the Society of Trust and Estate Practitioners (STEP). They explore the alarming statistics regarding the lack of succession plans and up-to-date wills among family business owners, the complexities of modern family dynamics, and the essential role of professional advisors in navigating these challenges. The conversation emphasises the need for proactive planning, effective communication, and the impact of recent budget changes on family businesses.

Chapters

00:00 Introduction to Family Business Dynamics

06:09 Key Findings from STEP's Research

12:11 Challenges in Succession Planning

17:46 Communication and Family Dynamics

23:47 The Impact of Recent Budget Changes

30:00 Conclusion and Future Considerations