Inherited businesses are more profitable.

[Bookwormlux]

It is not easy for one to start a business right from the scratch as this gets to require a very high sense of self discipline and also financial discipline backed by top notch patience before you would start seeing expected or desired results . Especially In this generation where it does not seem as though more people are willing to endure what it means to follow the process to Succeed in life . This is one of the reasons why I am of the opinion that a business which one inherited, especially from their parents is more likely to stand the test of time than one which you decide to start from scratch..

Inherited businesses help you to only build on an already established foundation. This then makes every thing easy, especially if you have got the right knowledge and resources readily available for you to go about the business.

Another aspect that makes these inherited businesses more profitable is the fact that they are usually structured in a way that all necessary licenses and regulatory compliances are settled before you even take over. As such , you are rest assured that nothing would make you at risk of law enforcement agencies again.

What do you think?

 

[sincerem]

It depends on the kind of individual who inherited such business from his or her parents. Some individuals aren't the type who lacks to insure trials, or put more hard work to make sure their parents investment stands. Some inherit business from their parents, but squander the opportunity and the business that worth millions just dwindle. While some are good at managing or continuing where their parents stopped and channel the business to extra height. Their are people too, who can build a business from the scratch and the business grows to stardom and survive the test of time, it just depends on an individual and how hard working such a person is, when it comes to maintaining a business and make it stay afloat long time.

 

[Bookwormlux]

@sincerem that is very correct and I think I did not do much justice to making sure I balance the equation by factoring out how individual sense of self discipline plays a role in the success of such inherited business. But I believe you still agree with me that it is usually the best way out that would guarantee one the ease of rising high in the business. Because we have got so many people who are really interested in giving their best in a business, but challenges like finance, resources make it difficult and that was the point I was actually driving at because those who are only continuing from where there parents stopped won't face much of these challenges that completely ne starters would face.

It is already obvious that business owners are also wisening up to make sure that they do not fall like their past generation did by not empowering their children. This is why you get to see that they are always giving their children the correct foundation by training them, and sponsoring them to study courses like business administration, marketing that would play a long term role in ensuring their business Success. This is a very smart action.

 

[sincerem]

What you said @Bookwormlux is very correct. Parents in the dark ages failed to give their children such privilege in the past, by failing to sponsor them studying a related course that relates to their profession which is the business niche they were doing. Now the parents of nowadays have learned from such dreaded decision making in the past, because they've learned the situation of the country, and allowed their children to study course related to their business in order for them to take over when they're at old age or when they've joined their ancestral fathers.

Their is no doubt, inherited business gives a reasonable individual whose parents laid a better foundation for, the cutting edge to drive far in life than starting a fresh new business which is always hard to operate at the beginning especially when you're capital isn't up to the demand of your business plans. I understand what you were saying, just that, I wanted you to know also, some individuals are there just to destroy what their parents use years to build.

 

[Good-Guy]

I think that there are various reasons why inherited businesses are more profitable as compared to other newly started business. First of all, the inherited businesses are basically well-established business. This is because the elders of the inheritors have already worked so hard to establish that business and it takes a lot of time to make a business successful. So when the offspring of such businessmen inherit business, they tend to get a business that is already well-settled in the first place. Secondly, one of the biggest reasons why inherited businesses are so successful is because they already have a proper management channel in the first place.

When you create a new business, you have to hire managers, supervisors, and other people who would manage the business for you. However, since inherited businesses are well-established, they already have a proper system of business management. lastly ,one of the biggest reasons why such kind of businesses are so successful is because they eventually become a brand by the passage of time! For example, there are many businesses that are too old and they always have a slogan like "Since 1950" that denotes that the business is quite old and it was inherited by the children of the people who ran the business.

 

[Alexandoy]

My wife's former assistant in the office owns a canning factory that is operated by his parents. The canning is for meat and fish. It is a big business because their products are brought to Manila which is quite far. The business is running good for many years already and Joseph (the son of the owner) said that he is the eldest in the brood so the management will be delegated to him when his parents would retire soon. I would say that an inherited business is profitable in that case. First, the business is already established with the suppliers and the customers. The work force is also in place that the business is managed well by his parents. What more can Joseph ask for except maybe a little training on the management side. By the way, they are Chinese and that's the business culture of the Chinese - a business is for the family.

 

[Sotherefore]

I understand every point you are trying to arrive at, if you have to inherit a business from someone then you needs to spend your time with the person on the business to really understand how to manage the business because inheriting a business without proper understanding of how the business is being runned might result in business failure or crash if proper care is not taken.

The only advantage in inherited businesses that it will be much more easier because you won't have to start from the scratch which is one of the points you have said above , but apart from those things the cost of running a business and every other business-related activities is always the same.

It may not necessarily be profitable and as such every proper arrangement that should be made to have a profitable business shall be adopted by anyone that is interested to take over the business.