Family Business Agreement

Over time, families and their businesses usually become more complex when Next generation members join the family business. The expectations of the family members will diverge due to the introduction of new ideas and opinions, and related conflicts may arise.

Therefore, the family could initially start developing its governance structures through the development of different agreements covering the three Systems involved in the Family Business, that is Family, Ownership and Business. Below are the various possible agreements that could be required:

Family	Ownership	Business
Developing A Shared Purpose Family Philanthropy Wills Lifetime and testmentary Trusts Estate Planning Family Education Family Constitution	Who can be an owner Decision making powers Dividend of Liquidity Policy Shareholder Agreements Buy - Sell Agreements Memo & Articles of Associations	Renumeration and Incentives for Directors Employment and Payroll Agreements for Family Members Board Committee Agreements