Starting-up and working in a family business can be challenging but can also bring valuable benefits when compared to other businesses, from greater trust between staff to a stronger commitment to making the business a success.

As well as the advantages mentioned above, family businesses can often have a more stable vision, given their desire to build a business for future generations. Family members may also be more willing to make financial sacrifices for the sake of the business, for example, deferring wages during a cashflow crisis.

However, without careful management the business can descend into conflict, often due to poor communication or clashes over pay. To help you run or start-up your family business here are a few factors to bear in mind:

Get talking
Communication can be an issue, so make sure you have good communication channels in place. Family members have a tendency to assume they know what the other feels or wants and personal resentments can become business conflicts. Encourage an atmosphere of open discussion where issues can be voiced in a safe, blameless environment

Create balance
Integrating non-family employees with the family can be tricky. They may feel uncomfortable and/or outnumbered. Develop a mechanism for providing constructive feedback to help all staff, family and non-family alike, to feel motivated and involved. This could be regular staff meetings or an internal newsletter, for example

Get an outside view
Family businesses can have a tendency to get too close to the day-to-day running or the business and miss the wider picture. It is always advisable to have someone, perhaps a consultant, to advise and act as a sounding board. Think about appointing an experienced adviser or non-executive director to provide an impartial viewpoint and help prevent emotions from clouding business issues

Make the commitment
To avoid conflict, draw up a family-business constitution. The constitution or family creed should include the business strategy, objectives and ethos, management structure and dispute-resolution procedures. It should also cover succession planning, retirement, training and the appointment and rights of all staff, family and non-family alike

Paying the people
Remuneration can be a cause for conflict for all. Relatives being paid more that other staff for no valid business reason can cause resentment. Set out a remuneration policy which will help prevent conflict and resentment, ensuring fair treatment of all

Succession planning
How best to pass on your business to the next generation will be one of the biggest challenges you face. You need to make the right decisions for you, your family and your business, effectively balancing the needs of all three. Your plans should include your key goals for the succession process, a timetable of the transition stages, from identifying a successor and then full transfer of responsibilities and a contingency plan