Avoid Kicking the Hornet Nest

Hornet nests and beehives buzz with efficiency and productivity. They operate similarly to many families and multi-unit franchisee family businesses.  First, each bee plays a specific role, as a drone or worker bee. The queen bee sets the tone of the hive and determines the role of each bee. In the “family business hive,” a king or queen sets the family and business tone and each family member and key leader fulfills a particular role. The king or queen establishes culture, or the standard "norm," and creates a belief the family and business hive is running smoothly and efficiently.

The set of roles and expectations set by the queen bee is the magic that makes a beehive work. But it can be the kryptonite of a family and family business.  Bees are born to do their job and unequivocally follow the queen. Mother nature is their guide. But in the "family business hive," humans seek meaning, making us complex and unpredictable. We long to be heard and have choices and opportunities for growth. When there is a lack of communication and information it is an instinct to jump to conclusions, fill in the blanks, and create our own meanings. And what we come up with is often nowhere close to the reality or intent of others, which can create conflict, miscommunication, and strained relationships - a kicked hornet nest.

It is common in a multi-unit franchisee family business to have specific topics that are not up for discussion, so they are metaphorically hidden behind a door with big red letters – don’t touch! Unfortunately, the door creates a dysfunctional functional norm for everyone who works in the company.  For now, everything is "ok" and status quo the way the king and queen want it, but there is a constant storm brewing under the surface.  Especially as family members’ business sense grows and individuals take on more responsibility in the business and within their separate careers and family.  Some examples of common scenarios we see hidden behind a tightly secured door include:

1. A family member working in the business and other family members not but receiving perks and/or a salary from the business
2. Equal versus equitable estate planning, especially when some family members work in the business and some do not.  My partner, Hugh Roberts, just wrote an excellent article on the drama that can play out in this scenario.  Gratitude vs. Resentment
3. The future isn’t discussed and ownership and leadership are up for grabs among family and key leaders 
4. Equal partnerships among Next-Gen leaders, with no discussion on how decisions will be made or governance that will support family and business relationships

In the beehive, when the queen bee dies the entire colony, often up to 100,000 bees, goes into disarray. Sadly, disarray also happens in family business environments when the king or queen of the business moves on without facilitating strategies to set their family and business up for success.  But in the case of bees, the disarray is temporary because they inherently know what to do to create order and crown a new queen.  It’s not so easy for humans.  When faced with the unknown we go into flight or fight and are not usually our best selves.  We also apply historical family and business stereotypes and baggage in our interactions as a form of self-protection or defense mechanism.

Your business and family environment may feel OK right now. If some topics are locked away in the junk closet because they are not fun to deal with, it will not stay that way, especially in a complex multi-unit franchise environment. It is in your, your family, and your business’ best interest to begin navigating uncomfortable discussions immediately.  Otherwise, they can tear apart your family and your business.  The good news is that you do not have to go it alone, and we challenge that you shouldn’t. Here’s an example from an advisor we partner with frequently who just shared this insight with a client:

"You can either handle this now and possibly have your kids hate you, or you can do nothing and watch them lose the business later."

Family and quality relationships are more precious than gold. Just as in the beehive, it is worth the investment of bringing everyone together.  You do hard things every day. Yes, addressing difficult issues may be emotionally charged, but as experts we can help shepherd you to the other side.  You can’t choose your family, but you were born into the family for a purpose. Each member can add something positive and when families come together (whether blood or not), the impossible can become possible. 

Kendall Rawls knows and understands the challenges that impact the success of an entrepreneurial owned business. Her unique perspective comes not only from her educational background; but, more importantly, from her experience as a second-generation family member employee of The Rawls Group - Business Succession Planners. For more information, visit www.rawlsgroup.com or email info@rawlsgroup.com.