5 Reasons You Should Never Go Into Business With Family
Starting a business isn’t an easy venture. It takes planning, money, money and money. Did we say money? Well it takes that an hundred of other things to turn a start-up dream into a real life business. In an effort to save money, and surround themselves with people they trust, a person will ask for the assistance of family. That’s always a terrible idea.
You should never go into business with family. There are countless real life examples of why it’s an awful idea but let’s look at a fictional example — the brothers of the new Comedy Central show Big Time in Hollywood, Fl. Big Time In Hollywood, FL follows the story of two filmmaking brothers living in Hollywood, Florida who get kicked out of their parent’s house and embark on an epic filmmaking adventure that involves imaginary and real drug lords, the FBI, a dead actor and a $30,000 ransom. Big Time In Hollywood, FL is on Wednesdays at 10:30/9:30c on Comedy Central but you can watch the first episode RIGHT NOW for FREE online by clicking here or on the Comedy Central app.
Never do business with brothers, sisters, cousins, uncles, parents or anyone with a hint of blood relation. Here’s why…
There’s Already Baggage
If two people go into business together, even if there’s a shared personal bond, the crux of the relationship is business. Personal feeling never equal success. When going into business with family it’s almost impossible to not let personal issues creep into the equation. Does your brother really not like your marketing idea or is he pissed because you’re not bringing the family over for Easter? Does your brother-in-law not like the office space you picked out or does he not like the fact his mom might like you more than she does her own son?
Work Never Takes A Break
When starting a company, countless hours are devoted to building it from the ground up, but with anything there are breaks needed to avoid going absolutely insane. Those breaks usually come in the form of down time with the family. It’s hard to have down time with the family when the family is part of the business. If your partner in bed is also your partner in business, the talk of business NEVER goes away. If you’re hanging out at a BBQ, your uncle is GOING to ask how his investment is coming along. You know, that business you’re launching! With family members as business partners there will be not mixing business with pleasure because there will be no pleasure — it will be business 24/7.
Money Makes People Do Crazy Things
Ask anyone estranged from their family what happened and nine times out of ten it has to do with money — who’s got it, who wants it, who died and left it to who and who owes who a ton of it. Making money will turn family into foes. Losing money will DEFINITELY turn family into foes. If you think we’re joking, at the next family function, toss a hundred dollar bill in the middle of the room and see how Uncle Joe Bob and your sweet Grammie react. That old lady will chew your face off for that cash.
You Give Them Way Too Much Credit
It’s easy to fall into the trap of thinking family can accomplish anything. That’s because family usually only shares successes with one another. Every time you fail miserably at something, do you tell your mom or dad? Not unless you’ve got to. It’s easy to assume your brother would make a great partner, look how great he’s doing at work! Well, you think he’s doing great, based on everything he’s told you. What does he do for a living? You’ve got no idea.
If It Succeeds, Or Fails, There Will Be Issues
If you launch the most popular app of 2015, congrats! You’ve got a ton of extra issues coming. If your app was a massive failure, we’re sorry to hear it, but you’ve also got a ton of extra issues coming. In either of those scenarios, it’s best that family isn’t involved.
Big Time In Hollywood, FL airs Wednesdays at 10:30/9:30c on Comedy Central but you can watch the first two episodes RIGHT NOW for FREE online by clicking here.