By Ahmie Baum, CFP® CFBA
Getting the right advice is crucial for family businesses—especially when it comes to tackling complex challenges and setting up for long-term growth. But too often, professional advice feels fragmented or out of touch, leaving family businesses with more questions than answers.
As Founder and Executive Chairman of a firm dedicated to family-owned businesses, I’ve seen firsthand the unique obstacles these businesses face. Many families come to us looking for more than just advice; they want clarity, guidance, and a plan that truly fits their values and goals. I wrote this article to share some of the most common issues family businesses encounter and the steps we take to help them build a clear path to long-term success.
Complicated Family Dynamics
The challenge for family businesses is navigating complex family dynamics. The success or failure of a family-owned business can be heavily influenced by how well family members work together. Differing expectations, work styles, and personal values often create tension.
Solution: In addition to comprehending the financial and operational aspects of the business, professional advisors need to be able to understand the emotional dynamics and interpersonal relationships inside the family. They must be able to lead conversations and assist in creating transparent governance frameworks that support both the continuity of the company, as well as the emotional dynamics within the family.
Insufficient Coordination Among Advisors
One of the more divisive issues I see family-owned businesses face is the lack of coordination among different advisors. Family businesses frequently hire a number of specialists, including consultants, accountants, attorneys, and financial advisors.
Each advisor typically specializes in a specific area and may offer insightful advice in their area of knowledge, but without coordination and collaboration, their suggestions may fail to align with the overall strategic goals of the family enterprise. This issue typically results in gaps in understanding of the different goals and outcomes that often exist between yourself, your family your business, and your ownership which can lead to inefficient outcomes or lack of progress.
Solution: A practical approach to this challenge is to implement what we call The Convergent Family Office Model™. Think of this model as an orchestra conductor coordinating all your advisors into a harmonious ensemble. This comprehensive framework replaces traditional fragmented approaches with an integrated system that:
Creates a unified advisory team structure with:
Shared information systems
Coordinated decision-making protocols
Cross-functional expertise utilization
Establishes dynamic governance through:
Integrated family council
Aligned business board
Coordinated investment committee
Next-generation development programs
Leverages technology for collaboration via:
A central digital platform for all stakeholders
Real-time reporting and analytics
Secure communication channels
Comprehensive document management
This model's power lies in its ability to create a seamless ecosystem where:
Business decisions support family goals
Wealth management aligns with business needs
Family dynamics strengthen both
Everything moves forward together cohesively
By replacing the traditional fragmented approach, we eliminate common issues like:
Conflicting advice between advisors
Resource inefficiency
Communication gaps
Missed opportunities
The result is complete alignment through unified strategy, coordinated implementation, holistic risk management, and aligned incentives - getting everyone to play the same song rather than trying to listen to five different bands at once.
Moving Forward Together
Family businesses can become more resilient and prosperous by proactively addressing issues like conflicts of interest, advisor coordination, and family dynamics through frameworks like our Convergent Family Office Model™. This comprehensive approach helps advisors work in harmony toward your family's goals while adapting to industry changes and best practices. Success comes from assembling a team of trusted advisors who not only work well together but also understand the unique dynamics of family-owned businesses.
Whether you're in the early stages of running a family business or have already been in operation for years, we at Interchange Capital Partners understand that every family-owned business is unique, evolving through different stages over time. Our mission is to meet you wherever you are and offer tailored strategies to address your specific needs and goals.
Looking for a personal, trusting partnership? Email us at team@interchangecp.com or call our office at 412-307-4230 to schedule an introductory appointment.
About Ahmie
Ahmie E. Baum is the Founder and Executive Chairman of the Board for Interchange Capital Partners, a premier Family Business Advisory Firm committed to empowering family-owned businesses. With over 45 years of experience, Ahmie specializes in guiding families to safeguard and grow their wealth through our strategic Clarity Foundation™.
Passionate about helping multi-generational family businesses, Ahmie excels at navigating their unique challenges, allowing them to focus on what they do best, running their core business. One of his greatest joys is getting to know the firm’s clients personally, listening to their stories, understanding their journeys, and identifying and solving the challenges that keep them up at night.
Ahmie collaborates closely with clients to help design comprehensive plans that address their obstacles, seize opportunities, and leverage their strengths. As he manages the complex and unique situations of each family, Ahmie takes on their challenges as his own, fully committed to helping them work toward achieving their goals. His mission is to guide clients through their uncertainties, enabling them to move beyond their fears and confidently pursue their dreams.
Ahmie began his career at EF Hutton in 1979, eventually rising to the position of Senior Vice President. In 1993, he transitioned to Paine Webber, which was later acquired by UBS, where he spent nearly 27 years. During this time, he earned an Executive Certificate in Financial Planning from Duquesne University and obtained his CFP® designation. He holds a Certificate in Family Business Advising (CFBA) from the Family Firm Institute and has been actively involved with Strategic Coach, an internationally renowned entrepreneurial training program, for over 20 years. Additionally, he has earned certificates from The Growth Institute, specializing in business growth, scaling, and cash management.
When he’s not working, Ahmie enjoys spending time with his wife, Sara, their three children, and three grandchildren. He recognizes that health is wealth, so he has committed to daily yoga, meditation, and plant-based eating. His other hobbies include woodturning, golf, reading, listening to music, and biking. He is active in his community, has served as the Foundation Chair of the Jewish Federation Community Foundation of Greater Pittsburgh, and supports various philanthropic endeavors. To learn more about Ahmie, connect with him on LinkedIn.
Interchange Capital Partners, LLC, (“INTERCHANGE CAPITAL PARTNERS”) is a registered investment adviser with the Securities and Exchange Commission providing investment advisory and financial planning services. Any reference to the terms “registered investment adviser” or “registered” does not imply that INTERCHANGE CAPITAL PARTNERS or any person associated with INTERCHANGE CAPITAL PARTNERS has achieved a certain level of skill or training. A copy of INTERCHANGE CAPITAL PARTNERS’s current written disclosure (ADV 2A Firm Brochure) discussing our advisory services and fees is available for your review upon request. INTERCHANGE CAPITAL PARTNERS, in addition to providing investment advisory and financial planning services, provides business consulting services. In connection with its business consulting services, INTERCHANGE CAPITAL PARTNERS does not provide tax or legal advice.
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