If a family member asks to work with you in your business do you say yes or no? Are you comfortable with family members in your business? What can you do to ensure that you're not making a mistake and how can you protect your business and your business interests? That's the topic of this week's GPS Business Podcast.
Should you involve family in your business?
You have a business and family members want to get involved or you want to give them an opportunity to use their skills with your customers
Key decisions and things you must do before allowing family members to work with you in your business.
What to do to ensure your business success
always make a contract and make sure you keep control of your business
Implied contracts count too
does this person have skills that complement your business or add value to your customers?
what do you want them to do in your business (you must keep control).
are they an employee or consultant/contractor? Figure in tax costs too as an employee you pay their taxes
do you get along with them enough to have them in your business? Key question: do you trust them, how far, and with what
What to avoid
let family members practice on your customers
Hear about my former admin who let her 16 year old son practice making websites with her customers (including me), with a terrible outcome and cost me 2 weeks of time (and it's why I fired her and refused to pay the invoice)
involve your young children in your business especially when it's not a fit and does not make sense
Unless you have a family focused business or you are marketing to families, don't call your 5 year old your 'co-ceo'
Hear about the 'business coach' who allows her 5 year old to disrupt marketing calls and
allow family members to join your business and become substitutes for you just because they are ‘family’
Make sure your family members who are involved in your business understand your customer service practices and
allow them to ‘give advice’ that dictates your message, shifts your business and alters your business strategy
do not give them access to your financial documents, checking account, or payment accounts and never give them check signing or withdrawal permissions unless you absolutely trust them with those processes. If they have that kind of access make sure they purchase a bond that protects your financial and business assets. There’s a good reason for that.
What do you do if family members ask to join your business? First treat them as you would any other potential applicant. They need to have the right skill set and to be qualified to work with you. To do that you need a clear job description and make sure they are a fit. If not, say no.
And if you do bring in family members, do it because it’s a good fit, you are comfortable with that decision, and you have very clear energy boundaries that you can maintain. If not, say no.