The challenges and joys of managing a family business, including succession planning and inherited debt, are highlighted through the stories of third-generation farmers.
In Australia, a significant number of businesses are family-owned, comprising seven out of ten enterprises. This article focuses on Sam Mackaway, a third-generation cattle farmer from Walcha, New South Wales, who is preparing to inherit the family farm that has been in their ownership for 27 years. With a deep-rooted connection to his land and a desire for his children to grow up in a farming environment, Mackaway faces the challenges of succession planning, which includes discussions around inherited debts and the expectation to contribute positively to the family legacy.
The piece also features insights from Corrina Wright, who represents the sixth generation of her family's business, Oliver's Taranga Vineyards. It emphasizes that while the heritage behind these family businesses provides pride and joy, it also comes with pressure to succeed and avoid pitfalls that could affect future generations. In a country where family businesses make up a substantial part of the economy, especially in sectors like agriculture, forestry, and fishing, the implications of mismanagement can be significant.
The importance of careful succession planning is underscored, highlighting the need for families to engage in open conversations about the future of their businesses. By addressing issues such as financial burdens and the path to maintaining traditions, these family-run enterprises can navigate the complexities of transitioning to the next generation, ensuring that they don't become the generation that 'messes it up.'
