There are thousands of examples of successful family businesses and this indicates that it is possible to have a harmonious "economic" coexistence between members of the same family.
Last update: 30 March, 2022
"In this house we don't talk about money", "We can't talk about business without arguing", "Sunday lunch turns into a battlefield when someone remembers the legacy of grandmother", "We got separated due to of expenses ". How many times have we heard similar phrases? Much more than it should, therefore it is useful to know how to resolve conflicts related to money.
Economic differences are present in a large percentage of households around the world. Quite the opposite of what should happen, as ties should be put first. Experts advise avoiding any type of transaction between members of the same family, such as a purchase-sale, a loan, a joint activity, etc.
It is therefore necessary to put aside all that unites beyond the bond, in the name of better coexistence and prosperity. However, many view it as negative and prefer to start a business with a family member rather than a stranger. But to what extent is this beneficial?
Types of money-related conflicts
Three main sources of family conflict where money is responsible can be identified:
- Marital litigation: family quarrels, especially long-term ones, are often linked to financial disparities, i.e. different earnings, spending small amounts, not saving as much as you should, excessive purchases with a credit card, disagreement on investments, etc. Thousands of marriages end in divorce because of money, as the situation becomes unbearable.
- Bankrupt companies: after trying to start a business with a relative, but the experience has proved a failure, problems can begin (or during the time the business does not advance). There was probably optimism, enthusiasm and a lot of expectations about the partner and the business, which is why after the bankruptcy, you are no longer able to spend a Christmas or a birthday together.
- Business between family members: selling a car to a cousin, lending money to an aunt, buying a house from a nephew, etc. They can be positive actions if both sides have noble intentions, but this is not always the case. It happens that one of the two tries to take advantage of it, regardless of having a relative in front of him.
How to avoid and resolve conflicts related to money in the family?
There are thousands of examples of successful family businesses and this indicates that it is possible to have a harmonious "economic" coexistence between members of the same family. Money can be a strength, a useful tool, a means to advance or improve, consolidate stability, change jobs, offer a new opportunity to those who do not have a job, etc. But never, under any circumstances, a vehicle to hurt, fight, argue, scream, separate.
Before any financial transaction, it is necessary to check if the family ties are as strong as you think. Morality and values ​​must be shared. The union does not only translate into meetings to have lunch together once a week, it goes much further. It means welcome others, help when they need it, be present in joys and sorrows (on par with wedding vows).
Be interested in what happens to parents, uncles, cousins, grandparents, godmothers, godparents, sisters; respect their choices and their way of life; be available when they need all kinds of help and attend family celebrations and gatherings. All of this will ensure a true and indissoluble union, even when money is involved.
