David Brownbill QC’s article of “Family Business Empires: Planning to Avoid Disputes and Managing the Unavoidable” was published in The MENA Business Law Review.
Family businesses in the Middle East are often complex, multi-faceted, multi-million dollar enterprises yet they maintain the essential elements of the family business, being family owned and family managed, through one or more generations. In the modern day, family businesses face a number of critical risks in particular: lack of corporate governance, fraud and family war. Proper structuring of the enterprise, and effective planning for succession to ownership and succession to management, and crucial in avoiding these risks and ensuring the survival of the family business in the future.
This article discusses these risks and the structuring and planning steps necessary to avoid them.