Advisory teams for latnily businesses

rllvnnv FAMILY business has a I.}group of advisors they turn to with various questions. The advisory team normally consists of a certified public accountant, an attorney' a banker, an insurance agent, and sometimes a stockbroker.

Family businesses often retain consultants on an as-needed basis, in addition to their core group of advisors. The management stYle of most family business owners dictates that the owner normally initiates contact with one or more of the advisors, whenever the need arises. This management style maY be described as a hub and spokes arrangement, where the hub is the family business owner and the spokes are the lines of communication to the he has learned from the CPA and calls the attorney himself. In this case, the owner is the clearinghouse for all information and is, by default, the quarterback of the team.

There are several reasons whY this is the most common management style when interacting with advisors. One major reason for the lack of teamwork is the comPetition among non-family advisors for who is the "most trusted." Advisors have a vested financial interest in maintaining strong relationshiPs with the client. This comPeti-