Family-owned businesses account for the majority of the world’s wealth. However, as with any other type of business, there’re both advantages and disadvantages associated with running a family business. Let’s move forward to discover them and see who can best help you with a merchant loan.

Advantages and Disadvantages of Running a Family Business: Merchant Loan

According to a 2019 survey by Deloitte, which polled 791 executives of family-owned businesses from 58 countries worldwide:

  • 43% had annual revenue of less than the U.S. $50 million
  • 37% had between the U.S. $50-250 million
  • 16% had U.S.$ 250million-1billion
  • 5% had the U.S. 1 billion or more

If you need additional funding for your family-owned business, just consider turning to a reputable alternative online lender in your field. This is the fastest and cheapest way to get access to the funds you need, including a merchant loan. Make sure the rates are among the cheapest in the space.

Pros of Running a Family Business:

  • Greater incentive to work harder
  • Strong commitment
  • Loyalty
  • Stability
  • Common values
  • Trust and authenticity
  • Flexibility and versatility
  • Vision and long-term goals
  • Your family’s under-aged children involved in the business can bring your some tax advantages
  • Since your family members are already familiar with the business to some degree, this results in time effectiveness and higher speed of operations
  • When necessary, family members can cover for each other
  • More relaxed working environment
  • Time and cost-effectiveness based on not being obliged to hire outside the family
  • Greater chances to make decisions more easily

Cons of Running a Family Business:

  • Unstructured or undefined leadership
  • Family can get you more distracted
  • Not being able to separate work and home effectively
  • Your business could be more vulnerable because of your family issues
  • Family conflicts
  • Family members may break working rules easily
  • If rule-breaking is left without consequences, it may hurt your business
  • Lack of skills for the given position
  • Critical feedback may be rake negatively
  • Not expressing what you think being afraid to hurt your family member’s feelings
  • Difficulty deciding who’ll be in charge of the business if the current chief is to step down

Family-owned businesses play a key role in the U.S. economy. Like any other business, they have both pros and cons that you should take into account by all means.

Author Bio: Michael Hollis is a Detroit native who now lives in Los Angeles. He is an account executive who has helped hundreds of business owners with their merchant loan solutions. He’s experimented with various occupations: computer programming, dog-training, scientificating… But his favorite job is the one he’s now doing full time — providing business funding for hard-working business owners across the country.