Family businesses are vital to economic growth since the majority of businesses in a country are family-owned. The most developed countries have managed to break paradigms in family businesses and that is why we find family businesses that have lasted over time for many generations and have become business families.

But what makes them last?

1. They break paradigms 

Within family businesses, there are several paradigms that need to be shattered in order to endure over time.

• The paradigm of generations and their communication: Elders often tell their children: "You are not going to teach me how to work in my company", "Here we do what I say", "We are going to continue doing it like this because we always It has worked like this for me"... And from the youngest to the oldest, "My dad doesn't know what he's doing, he lives in the past", "I don't know how this company is maintained with my dad's way of being", "This It looks like a company from the last century." 
  
  It is essential to appreciate and have gratitude from both parties to have good communication and listen to everyone's ideas. In family businesses that have this type of communication problems, it is recommended to start with the creation of a family council that meets periodically to talk.
  
  
• The paradigm of the Family Protocol: Building a family protocol is not synonymous with ceding control of the family business. On the contrary, it is synonymous with security and organization.
  
  
• The paradigm of adapting to the digital world: Stating that there is no need to adapt to the digital world is rowing against the current, it needs to be done but in a strategic way and focused on growth. The digital world does not mean social networks, it is much more than that, it is a cultural change that will allow you to trace, pay and prepare the way to have greater freedom and control.
  
  
• The paradigm that children must work their entire lives and from a young age in the family business: This may have been successful in some family businesses, but the most common reality is that the monkey learns the hard way. So preventing children from developing their character and overprotecting them can have devastating psychological consequences. Not everything is about money and pride, everyone has the right to live and make their life their own. Don't become the son or daughter your parents think they deserve, you can't live in a vacuum created by others. 
  
  
• The secret formula paradigm: The secret formula is the way you are organized to do what you do and it is something very difficult to copy and transmit. That is why it is important to convert tacit knowledge into explicit knowledge and organize so as not to depend on a single person.
  
  
• The paradigm of building and diversifying: It is important to have other lines of business and different investments, but you should never leave focus and concentration aside. Yes you can create new businesses and take advantage of new opportunities but always taking care of the family assets and the cash.
  
  
• The paradigm of receiving investment: Receiving investment is not synonymous with losing control and giving up the company, on the contrary it is synonymous with credibility, trust and respect. You just have to make everything clear so there are no surprises.

These are some of the most common paradigms that the most successful business families have managed to break.

2. They think and organize themselves like business families

Business families stop thinking like entrepreneurs who have built everything and do everything at the same time. It is important to think in a different way. A family business is not a venture, it is a legacy that has been built for years, which has provided education, a house, a car, food, opportunities and much more. Therefore, it must be organized so that it can last, and this is done through a family council that makes decisions by consensus and encourages conversation. It is important to separate business units, assets and have a family office that controls family operations.

3. They have a clear growth marketing strategy

Having a clear growth marketing strategy means understanding that you are different from the rest, special and unique. It is understanding that you have accumulated practical knowledge about the market in some business and that the market has rewarded you with cash. Therefore, you must enhance and shield what you already know works and what is emerging.

A clear growth marketing strategy is a fundamental discipline for business. Its basis is in acting, in making decisions and in solving, taking advantage of what emerges day by day.

A growth marketing strategy is NOT about being better, being efficient, having quality or continually improving.

4. Establish budgets

Establishing budgets and controlling how much you spend and what you spend it on is essential to being able to organize yourself to protect your legacy. Believing in the old saying or falling into the trap of worrying more about what you earn than what you spend can lead you to lack of control and live constantly stressed. Although it is impossible to control everything, it is also possible to invest and allocate amounts of resources or money in measurable, specific and consensus-defined actions.

It is important that you do not stay in budget planning for months, be diligent, move forward and execute.

5. They seek support

Relying on experienced people to become a business family is important due to their experience and specialized knowledge, to avoid common costly mistakes, especially in areas such as: finance, marketing, business and tax law, and operational management. The external view makes conversations more objective, fluid and less emotional. Connections and networks facilitate access to valuable resources such as investors, strategic allies and trusted suppliers. The implementation will be carried out in an organized, fast and efficient manner. In addition, external support helps manage risk, crises and contingencies in order to protect business units, assets and the family unit, and not get carried away by emotions or hunches.

Conclusion

In conclusion, family businesses that become business families seek support and invest in professionals to make the process less emotional and more strategic. They set budgets and know very well how much they are spending and what they are spending it on. They know that growth marketing strategy is a fundamental discipline for the development of a business and a family. Furthermore, they stop thinking like entrepreneurs and establish a family council. They separate the business units, the assets and have a family office. Lastly and most importantly, they break many paradigms and accept the challenges of the present in an increasingly digital world.