Prompt: Some people think that the best way to run a business is within the family. What are the advantages and disadvantages.

It is true that family-run businesses have never stopped gaining in popularity over the world. Although this model is applauded by many experts, it still exists some limitations. Ċ On the one hand, there are a number of advantages of family-run businesses. First, since the company is operated and overseen by family members, such as children and wife, or relatives, it is difficult for outside parties to steal the control of the business. This means that the family has an absolute control and power over strategic decisions, staffing or a payroll, which is of great benefits for all family members. Second, since family-run businesses are private corporations, they are not subject to complex financial complicating reporting requirements. As a result, the company can save a great deal of money on hiring a team of professional accountants to prepare external reports and deal with government stakeholders. Ċ On the other hand, family-run businesses are not without disadvantages. In fact, conflicts related to business among family members have the potential to sabotage any family relationships. For instance, the dispute over either business owner or salaries might lead to a quarrel or even an avoidable family estrangement. In addition, non-family employees working for family-run business might see the way of running the company is not fair to them. For example, even if they perform exceptionally well and make enormous contributions to the company, chances are they will not be recognized enough compared to those who are family members. Ċ In conclusion, given clear advantages that family-run business have, there are still some limitations. By acknowledging the limitations, the business owners can find the ways to dodge them.