Why Working With Family Could Be the Worst Decision You’ll Ever Make.

April 10, 2023by Jeffrey Davis

Lots of people decide to work in the family business. I’ve done it myself in another lifetime when I was involved in the world of construction. I’ve represent hundreds of closely held businesses and scores of business owners. I would say based on my experience, 80% of those businesses are family-owned or at least family-managed and the litigation that arises from lawsuits involving family tends to be the most vicious, expensive and complex in the commercial litigation context.  Family fighting family tends to be a crockpot of toxic insanity. Why? Well, I offer a few thoughts on why working with family can be a potentially toxic situation:

  1. Lack of boundaries: When you work with family, it can be difficult to separate personal and professional relationships. This can lead to a lack of boundaries, where family members may not respect each other’s roles and responsibilities at work.
  2. Communication Issues: Family members may be hesitant to communicate effectively with each other, leading to misunderstandings and conflicts at work. People may avoid giving honest feedback or discussing sensitive topics for fear of causing problems in their personal relationships.
  3. Emotional baggage: Family relationships often come with emotional baggage that can spill over into the workplace. Conflicts and resentments from the past can impact the way family members interact with each other at work, leading to a toxic work environment.
  4. Power struggles: Family dynamics can sometimes create power struggles, with one family member trying to exert control over another. This can be particularly problematic if the family member in a position of power is not qualified or competent.
  5. Difficulty separating work and home life: When family members work together, it can be difficult to leave work at work and go home. This can lead to increased stress and burnout, as work-related issues may constantly be on their minds.

Overall, while there are some potential benefits to working with family, such as shared goals and a strong sense of loyalty, it’s important to be aware of the potential downsides and take steps to mitigate them. Establishing clear boundaries, effective communication, and a strong organizational culture can all help to prevent a toxic work environment from developing. In short, consult an attorney.