Should You Go Into Business with Family?
The concept of a family business has been around for centuries. While the practice was widespread into the 1950’s, most modern businesses are independently owned. As an independent insurance agent, you have a choice who you work alongside. There are pros and cons to hiring a family member. Here are a few things to consider before choosing a business partner that’s related to you.
How Well Will You Get Along?
Some family members get along great until they go into business together. This is usually because both partners want to lead the business, which causes friction. Running a business is also very stressful. Think of a time when you and your relative were both very stressed. Consider how you interacted with one another. Now think about what it would be like to add in the responsibility of a business during that time of stress.
Keeping Personal Lives Separate from Work
If your goal as an independent agency is to grow, you need to be able to leave any personal problems at the door. Doing this can be difficult, especially if you live with your business partner. Unless both you and your relative can keep your personal lives at home, you will need to work opposite shifts or find a different partner.
Are You an Authority Figure?
Family members aren’t always partner material. Sometimes they make excellent accountants, administrative assistants, sales associates, or customer service representatives. If you are planning on hiring a family member to fulfill one of these roles, they need to accept you as an authority figure. They need to understand that you are running a business and they must follow your direction.
The Positive Side of Hiring Family
While this blog highlighted some of the negatives of working with family members, there are many reasons why this business structure could work. It is an excellent way to give younger relatives first-hand job experience. For partners, it can make expansion easy, especially if you both have an equally invested interest in the business.
Making a Decision
The Affordable American Insurance family is always growing, and many independent insurance agencies work alongside their loved ones. To learn more, please contact us today.