TRANSFER OF FAMILY BUSINESSES
Family businesses can sometimes be a little complicated!
Austria is a country of family businesses. 80% of all companies are family-owned and generate more than half of the GDP.
The transfer of management to the next generation represents a significant test for the majority of family-owned businesses.
Only three out of ten companies successfully transition from the first to the second generation. Only one in ten companies makes it to the third generation.
We are fascinated by the special characteristics of family businesses.
Within a family business, three different spheres converge: the familial, the entrepreneurial, and the ownership sphere.
These are three areas of tension that offer numerous opportunities but also considerable potential for conflict. Family members assume different roles and, in this context, wear multiple hats. The conversation between father and daughter can simultaneously be a conversation between the owner and the current employee or future owner. Conflicts of roles and goals are often commonplace.
A conscious examination of these mutual effects is essential for a family business to remain successful over generations.
Our approach – The 3x3 Summit Model
Our handover model is based on the 3x3 planning method of mountaineering and focuses on the two main participants—the handover and the takeover. The mountains and peaks serve as a context for each person's very personal routes, goals, and challenges.
Summit of the transferors
Those handing over the business have shaped their company into what it is today. All their experiences, decisions, and emotions leave a personal mark. Letting go of one's life's work is both rationally and emotionally challenging. Therefore, to resolve the conflict between handing over and continuing the business, it's important to consider more than just the formal aspects.
Summit of the handover
This central mountain must be climbed together from the bottom up to ensure a successful handover. The joint ascent leads from the valley of emotions through organizational/strategic paths to the formal level. Mutual understanding and trust are strengthened through dialogue on relevant topics.
Summit of the takeovers
The transfer of ownership does not mark the end of the handover process. The transferee pursues his or her path toward the future, thus ushering in a new era. The transferor remains emotionally connected to the company. A new balance develops between family, business, and ownership.
We would be happy to support your handover process in the appropriate role.
The 3x3 Summit Model is the result of close cooperation with various experts from a wide range of relevant disciplines and the Center for Family Businesses at the MCI Management Center Innsbruck under the direction of Prof. Dr. Anita Zehrer.
Just like mountaineering, family handovers require thorough preparation and careful planning. Depending on the type and complexity of the handover, we can support you throughout your individual transition process, either throughout the entire process or at specific points. We take on the role that is most effective for your process: as a process facilitator, moderator, sparring partner, or specialist consultant.