In Shakespeare’s King Lear, an aging king divides his kingdom among his daughters based on flattery. The daughter who speaks honestly is disowned, and Lear ultimately loses everything. This story is a cautionary tale for family furniture business owners: poor succession can erode not only the business you’ve built but also family harmony.
Family-owned businesses like yours drive communities and economies. They account for a significant portion of global GDP and often outperform non-family companies due to their long-term perspective. Ensuring your furniture family business thrives for the next generation requires intentional planning for ownership and leadership transition.
The Challenge of Letting Go
Many seasoned owners resist talking about retirement or succession. “Nobody is telling me when to retire,” one furniture store owner might say. And yet, even the most dedicated family head knows that leadership succession will be necessary someday.
The family head—whether founder, CEO, or president—is the anchor of both the business and the family. The business defines their daily life, reputation, and legacy. Letting go of that control can feel threatening, but avoiding the conversation risks leaving the business unprepared for the future.
Aligning Family Goals with Business Goals
A central goal for family furniture businesses is long-term prosperity. Outperforming competitors often comes from thinking in generations, not quarters. For this reason, ownership and leadership succession planning is not just wise—it’s essential.
Even if a future sale is on the table, a structured succession plan increases the value of your business. Buyers invest in potential, and a business with prepared leaders and a clear roadmap is worth more.
Planning for Ownership and Leadership
Eventually, every furniture business owner faces tough questions:
- Who wants to own the business now and in the future?
- Who is prepared and willing to serve on the board or take on leadership roles?
- How will family members gain the skills and experience needed to lead?
Sometimes, the next generation may not be interested in running the business or prefer to lead differently. In such cases, bringing in professional leadership can preserve the family legacy while ensuring growth.
Boards with independent directors can help guide these transitions. High-performing boards, including three or more independent directors, provide objectivity, help elect capable leaders, and ensure that family values and long-term goals remain central.
Ownership Structures in Furniture Families
Some family businesses, like SC Johnson, retain centralized control, passing leadership through generations while keeping decision-making within the family. Others, like Laird Norton, diversify ownership among multiple family members while maintaining strategic direction through structured governance.
Regardless of structure, communication is key. Family owners should understand the business, contribute to setting vision and values, and participate in important decisions. Opportunities for involvement, including philanthropy, can strengthen engagement and maintain family unity.
Leadership Transition: The Time is Now
CEO succession should always be top of mind. Unexpected events—illness, retirement, or sudden loss—highlight the need for preparedness. Developing internal leaders or identifying external candidates ensures continuity and preserves the family vision.
The rising generation must step into roles for which they are interested and qualified. Where they are not ready, alternatives—internal promotions or external hires—can safeguard the business and family legacy.
Life After Active Leadership
Succession doesn’t mean the family head disappears. Retired owners can remain ambassadors—welcoming customers, sharing company history, mentoring new leaders, or engaging in philanthropic efforts. Retirement can be fulfilling, providing time for hobbies, travel, and community impact.
The True Legacy
For family furniture business owners, the ultimate legacy is a successful succession. Passing on ownership and leadership effectively ensures the business thrives, family relationships remain strong, and the next generation has a foundation for continued success. Succession is not the end—it is the final stage of greatness.
