Millennials are taking their places at office desks around the nation. This burgeoning generation is just starting out,which means changes for family businesses with millennial family members who stand to inherit the family business. Of course, this scenario raises certain concerns for baby-boomer business owners as they look to the next generation of workers.
According to Patricia M. Soldano and Lauren Benenati in their article Millennials and the Family Office, “This intergenerational wealth transfer will pose significant challenges to the family office, as this generation has beliefs and views independent of their parents.” A valid point in an age of online transactions, social media, and a changing stock market. Baby-boomer business owners face potential discord as a forward thinking, tech-savvy, and somewhat self-centered generation of workers step into their family offices. The challenges only increase when it comes to intergenerational wealth transfer because it calls into question how millennials will be involved in managing that wealth while the baby-boomers are still alive.
Today, business management is steadily shifting away from the brick and mortar of the older generation and toward the web-based, social media dependent, mobile-friendly dealings of the new. How can these two generations reconcile their differences for the benefit of the family business and the preservation of family wealth? Unfortunately, there is no simple answer to this question. Baby-boomers can start planning now, for the years ahead, when they may no longer have an active, participatory role in the management of the family business.
Do you have a family business with a growing workforce? As your millennial family members introduce new ideas and values about financial management to your business, consider how that will affect intergenerational wealth transfer. Consult with us as lawyer if you have questions about how to protect and preserve your wealth while at the same time ensuring your family business can thrive in the hands of even your youngest employees. We can help you make sure your business will be managed according to your wishes both now and in the future when millennials are ready to take the operational reigns.
This article is a service of Kundani& Chang LLP. We are an award-winning law firm that specializes in business and estate planning for clients like you. The goal for every family is to stay educated on all topics like this, avoid probate, avoid estate taxes, and build a legacy for you and your loved ones. What sets our firm apart is that we build lasting, lifelong relationships with our clients. They rely on us to keep them updated, provide sound legal counsel, and be there for them immediately if any problems should ever arise. The best part is we don’t charge hourly fees to our families, so you never have to worry about speaking to us. If you’re ready to keep your family out of Court, contact us today to schedule an initial consultation or visit our website at www.kckwlaw.com