A Family Charter is one of the most important assets a family business could possess. It’s a ‘treaty-like’ document that clearly defines and guides a family business into the future.
Contained within a Family Charter is the definition of the family business and the relationship of individual family members to the entity.
It identifies the family business legacy from prior generations and captures the vision and mission for the family members of tomorrow.
The aim of a Family Charter is to record the family’s ambitions for the business and provide a resource for how the business should be managed … unlike a Family Constitution, that primarily deals with technical issues such as the business structure, individual roles and responsibilities and financial governance.
The value of a Family Charter to a business is (almost) immeasurable. It acts as a safeguard against potential issues arising from misunderstandings and differences of opinion.
Family Business Central has been helping family businesses develop Family Charters for nearly two decades. We can help you and your family write your very own Family Charter.