Heir Necessities: Tips for the Next Generation to Successfully Lead the Family Business

Posting by Geoffrey D. Brown, CPA, Principal

One of the biggest challenges faced by the senior generations of long-time family owned businesses is deciding how they will transition their business to the next generation, and how to do it successfully.

In today’s competitive business market, families wishing to sustain their organizations over many generations must invest considerable time and energy into developing the next generation.  Careful preparation of young leaders will help ensure the success and vitality of the family enterprise.  […]

May 14, 2013 Accounting, Family Owned Businesses Read more...

Best Practices for Encouraging Entrepreneurship within Family Businesses

Posting by Joel C. Susco, CPA

The giant leap from first generation to second generation in a family business isn’t bridged merely by luck or time – it takes work, planning, and an understanding of entrepreneurship.  Keeping the entrepreneurial spirit alive first relies on understanding the characteristics of entrepreneurship, e.g., creativity, adaptability and self-determination.  Following are some “best practices” for helping to foster the entrepreneurial spirit, and providing your family business with both ideas and tools to survive and thrive […]

May 7, 2013 Family Owned Businesses Read more...

Preventing Fraud with Surprise Audits

Posting by John Merchant, CPA, CFE, CFF

Surprise audits are an important, but often overlooked fraud prevention mechanism.  Many unscrupulous employees anticipate the regular audit and cover their tracks accordingly, but a surprise audit can expose the usually hidden graft.   Additionally, the simple threat of a potential audit can deter fraudulent employee behavior.

These audits often cover the same areas as a routine audit, but in more depth.  My colleague Alex Helfand, in his post on bbforensic.com, identifies several common areas […]

May 2, 2013 Accounting, Family Owned Businesses, Forensic Accounting Read more...

What’s Love Got to Do with It? How Family Ties Can Harm a Family Business

Posted in DCFBA Blog, Management, Relationships | Post By Joel C. Susco, CPA, Principal

Posting by Joel C. Susco, CPA

Every business experiences challenges now and then, but family owned and operated businesses can be particularly challenging to navigate successfully and smoothly. Working with family members can be a very enjoyable experience, but if management falls into some common mistakes, it could pose some specific business risks that, if not properly addressed and resolved, could result in negative consequences to your […]

April 24, 2013 Family Owned Businesses Read more...

Four Ways Family Businesses Can Encourage Innovation

Posting by Geoffrey D. Brown, CPA

Innovation is the key to driving business success. In today’s increasingly crowded business environment, it’s key to staying competitive.  Whether it involves developing cutting edge products and services, creating a new process, or simply remaining flexible to adjust to the changing needs of your client base, businesses must continue to innovate and evolve for their own survival.

One of the biggest challenges that family businesses face with regard to innovating is striking that healthy balance […]

April 16, 2013 Family Owned Businesses Read more...

Payments Fraud Prevention: Protecting Your Family Business from Check and Card Fraud

Posting by Joel C. Susco, CPA, Principal 

Are your payment processing systems vulnerable to fraud?  Our Forensic Accounting team recently posted on the most recent research showing that check fraud continues to be a persistent problem for companies, and credit card fraud is on the rise.  Unfortunately, family businesses aren’t immune from this trend.

According to the 2013 AFP Payments Fraud and Control Survey, 61% of the companies surveyed had experienced some type of payments fraud.  Without the proper controls in place, […]

April 13, 2013 Accounting, Family Owned Businesses, Forensic Accounting Read more...

The Top Two Secrets of Successful Family Businesses

Posting by Geoffrey D. Brown, CPA

Most of us have heard the term “shirtsleeves to shirtsleeves in three generations.” This describes what many would say is the typical family business life cycle. Statistics bear this out- according to the Family Firm Institute, Inc., only 12% of family businesses are family-owned into the third generation. Most of us can also recite the various reasons for this, and conflict between family members is reason number one.

Conflict is a very broad issue that […]

April 9, 2013 Family Owned Businesses, Uncategorized Read more...

10 Ways to Ensure a Smooth Leadership Transition

Posting by Geoffrey D. Brown, CPA, Family Business Advisor

There are a number of books written on succession planning and transitions in family businesses, and it is impossible to synthesize all of that information into a short blog.  So, keep in mind as you read this, that succession planning is a complex subject, and this is intended as a high level overview.  In subsequent posts we will discuss particular aspects in greater depth.   Following are 10 suggestions to ensure a […]

April 2, 2013 Family Owned Businesses, Wealth Management Read more...

Identity Theft Prosecution: Three Ways a Forensic Accountant Can Help

Alex Helfand, ENCE, Computer Forensic Specialist

Identity theft and related identity fraud is a widespread problem due to today’s modern digital environment, which has armed thieves with new ways to silently steal large amounts of personal data from anywhere in the world.  Credit card fraud, identity theft and online embezzlement scams are increasingly in the news, and we frequently hear about personal information being stolen due to credit card skimming, and websites and other company data being hacked.

One particular scandal […]

March 29, 2013 Accounting, Audit, Family Owned Businesses, Forensic Accounting, Human Resources Read more...

What is a Family Constitution and Why is it Valuable to Your Family?

Posting by Geoffrey D. Brown, CPA, Principal

What is a family constitution?  Simply put, it is a document that outlines how a family will govern itself.  Your family may have a “code of conduct” or “mission statement,” many of which do not address governance.  Or, your family may have never considered the idea.  If yours is a family of wealth or if the family business is integral to your family, you should consider the idea of a family constitution.  I […]

March 25, 2013 Family Owned Businesses Read more...