I’m sure you want to preserve and grow your financial wealth. But family success depends on five different kinds of capital – financial, human, intellectual, social and spiritual – and the balance among all five.
Families who focus on financial capital and ignore the other four tend to develop problems in family relationships. Tensions and conflicts among siblings arise. Jealousies and feelings of unfairness crop up, especially after the matriarch and patriarch pass away.
Without tight family relationships and a history of confronting problems and settling misunderstandings and disputes among themselves, siblings become suspicious of one another and grow distrustful. The hope of positive resolution fades away.
These are the families who unravel, destroying not only the family harmony and unity, but also the family business and wealth.
By examining each of the five capitals in your family, you have the opportunity to develop the ones that are not as robust as they should be and put your family on a more secure track for success.
This is an excerpt from Joanne Stern’s article in the March issue of the Strategic Review. Let us know below which of the five family capitals you place the most emphasis on in your family, and why this is important to you.