We help families build the structures — and the culture — that carry a business, a farm, and a name safely into the next generation.
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Introduction

Family businesses are a vital part of the global economy, contributing to the creation of wealth and employment opportunities. Running a family business, however, comes with its unique challenges, such as navigating complex family dynamics and managing intergenerational transitions. To ensure the long-term success of a family business, it is essential to establish clear governance structures, ownership rules and asset management policies.

In South Africa, family-owned and operated businesses range from small, micro-enterprises to large, multinational corporations. Family businesses account for a significant percentage of the country’s GDP and employment, with some estimates suggesting that they make up as much as 70% of all businesses in South Africa. Despite the challenges facing family businesses, such as intergenerational transitions and managing complex family dynamics, they remain an integral part of the country’s economic landscape.

This is where The Family Constitution Company comes in – a company dedicated to guiding clients through the process of developing a family constitution and facilitating family meetings to discuss critical issues related to the business. With years of experience and expertise, The Family Constitution Company provides a range of services to help families create a strong foundation for their business, ensuring a smooth transition from one generation to the next.

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Why build a family dynasty?

WHY DO FAMILY LEGACIES MATTER?

We thought governance was something big corporates needed. What we found is that it is actually just the conversations your family should have been having all along — made formal enough that nobody can avoid them.

We had been farming together for nearly thirty years without ever writing down how we made decisions. When we finally sat down and put it on paper, we realised we had been doing things the right way — we just had no way to pass that on. Now we do.

We have seen it happen to people close to us — friends, neighbours, even extended family — torn apart by money and inheritance. You think it will never be you. With what FCC has helped us build, my children will grow up watching us sit around a Council table and decide together. That difference — that is the whole point.

Ons het altyd gesê ons kinders sal een dag saam boer. Maar ons het nooit die werk gedoen om dit moontlik te maak nie. Die grondwet het ons gedwing om die gesprekke te voer wat ons jare lank vermy het — en dit was die beste ding wat ons ooit vir ons kinders kon doen.

Ek het gedink erfopvolging gaan oor geld en grond. Dit gaan oor baie meer as dit. Dit gaan oor wie jy is as familie, wat jy glo, en hoe jy besluite neem as die patriarg nie meer daar is nie. Dít is wat ons nou het — en dit is nie iets wat geld kan koop nie.

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THE REALITY

Set up family constitutions

and meetings to ensure success

Only 30% of family businesses survive to the second generation; only 12% reach the third.

01.

Only 3% of HNW families felt their wealth would last beyond the third generation without a formal plan.

02.

70% of family businesses fail due to family conflict, not financial causes.

03.

56% of families with $1bn+ assets have a family constitution. (UBS)

04.

Families that hold regular meetings have a 74% wealth-transition success rate, vs 25% for those that don’t. (Williams Group)

05.

How We Work

Our work happens in two phases — an intensive Foundation, then an ongoing Practice.
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Boerefamilies

Vir Afrikaanse boerefamilies — lees meer oor familiebestuur.
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Expert Team

Attorneys, fiduciary specialists, tax planners and financial advisors.
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