Family Firms

Family Firms in the Netherlands

According to CBS (Central Bureau of Statistics), 71% of businesses in the Netherlands fall into the family business category. A family firm is one that meets at least two of the following criteria:

• More than 50% of shares are owned by one family
• One family has decisive influence on business strategy and succession
• At least two members of the board come from the same family

The interests within a family firm

Family firms face different specific issues, to those in investor-owned or publicly traded companies. Consider family involvement in the business and long-term focus. Not only business considerations, but also emotions play a key role. These can even lead to disagreements between family members. For example, regarding leadership, ownership or the desired direction of the company.

Rubicon’s advice and guidance

Family firms like any other business have to deal with tax laws and regulations. But the specific interests within family businesses also require advice and guidance to match. Therefore, in its role as advisor and mentor, Rubicon not only looks at applicable laws and regulations. It also considers the emotional aspects in play. This is especially important in significant events, such as transferring the business to the next generation. After all, you gain nothing from technically correct advice that doesn’t fit with the family or firm.