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March 3, 2009–Issue 238
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You probably recall the cell phone company commercial a few years ago that promised to put you in touch with friends and family. While this may be a good idea for communicating by cell phone, it may not be the smartest idea for your business. There are at least three things to consider before you enter into a working relation with family and friends.
First, before hiring or starting a partnership with a family or friend, ask yourself if they share your vision and your drive. If this person already has the energy, ambition, integrity and work ethic required, good. I have heard my share of horror stories when relatives working together in a family business hit a collision course because of theft, uneven sharing of duties (okay, laziness) and so on.
Caution: don’t hire an adult relative to help them grow into honesty and responsibility, unless you’re running a rehabilitation program.
Second, can and will this loved one take directions (sometimes translated “orders”) without getting offended? There’s usually one boss overseeing the operations in a small company. If your relatives want to each “boss,” you can expect your projects to collapse.
I occasionally break my “no-relative-as- employees rule” and hire my grandkids to do manageable tasks. Even though they love making the money, we often have to begin a work session with the importance of doing what the “boss” asks, not your own variations to get finished fast. My motivation in hiring them is more about teaching them about work and earning money, of course, but it sometimes costs me a high price in tension and stress.
Third, will your family-member-employee show up on time, abide by company rules, and happily accept the pay you can afford? I once had to fire a niece who was a great receptionist, showed up on time, but couldn’t resist placing a toll call to her boyfriend everyday. Although I deducted all these charges from her pay, I was dismayed to think about my company’s work that was going undone while she schmoozed on my time.
Another failed relative-employee ended because of bitterness over the pay. Apparently this relative believed that I had a buried treasure in the backyard (calling me Ms. MoneyBags) that I was determined to carry with me into the afterlife. My meager wages were just unacceptable.
Let me correct you before you think that I’ve had nothing but troubles with employees. I’ve had wonderful, professional, resourceful and hardworking employees over the years. Unfortunately, none of this group was relatives.
My adult children are very helpful in my business with specific, short-term tasks such banking, delivery, pick up supplies, shipping, answering the phone when my hands are busy, for example. Beyond that, our working relationship deteriorates into high pitch tones, accusations and hurt feelings.
There are many reasons that relatives don’t often work well together. It’s difficult to take a relative serious. Relatives have a long history together, complete with loaded baggage. Relatives often have more unrealistic expectations for each other than they would for strangers (just ask my grandkids about this one.)
My motto: Love ‘em, but don’t hire ‘em.
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