It is said that start-ups are born with the support of one or more of the so-called 4 "F's" (Family, Friends, Funds and Fools). Entrepreneurship by members of the same family (siblings, cousins, married couples or ascendants/descendants) is a very common phenomenon, but little analyzed and understood. We usually talk about the idiosyncrasy of the family business in established companies, in processes close to the succession in the management, or even in second and successive family generations. But what is so special about undertaking a new business venture together with other family members? What does it contribute and what does it imply to work with family members in the initial stages of a business project?
In this breakfast we will learn about the experience of two young, technology-based companies founded by members of the same family: Aerox and VisualNAcert. Raúl Cortés (Aerox) and Mercedes Iborra (VisualNACert) will tell us about their experience of entrepreneurship with their brother and sister respectively. Two cases of members of business and entrepreneurial families, materialized in two new companies that are showing excellent results and great growth prospects.
Family members who undertake together transmit values of commitment and responsibility.
The last Friday, September 23, the Chair of Family Business (CEFUV) promoted by the Valencian Association of Entrepreneurs (AVE), the School of Entrepreneurs (EDEM), the Valencian Institute for the Study of Family Business (IVEFA), the Institute of Family Business (IEF) and the University of Valencia (UV), and sponsored by CaixaBank and Broseta, held a new breakfast-tertulia under the title "Entrepreneurship in Family: The case of young, family and technology-based companies".
Alejandro Escribá, professor at the University of Valencia and director of the Chair of Family Business (CEFUV), introduced the breakfast by pointing out that entrepreneurship by members of the same family (siblings, cousins, married couples or ascendants/descendants) is a very common phenomenon, but little analyzed and understood. Escribá pointed out that the idiosyncrasy of the family business is usually talked about in established companies, already in processes close to succession in management, or even in second and successive family generations, but it is important to put on the table that family relationships also occur in new business ventures. To analyze this aspect, a discussion was held with Mercedes Iborra (VisualNACert) and Raul Cortes (Aerox) entrepreneurs who have recently established with other members of their respective families, new technology-based companies, and with an excellent track record.
VisualNACert is a company created in 2014 by two enterprising sisters, Mercedes and Lucía, dedicated to designing digital management solutions for companies in the agri-food sector, for farmers and related industries.
Mercedes Iborra, VisualNACert's strategy director, has highlighted that the main advantage of family entrepreneurship is that there is a great complicity between the founding sisters: "we share values and ethics, also flexibility and agility in decision making, without forgetting that we face successes and learning together. We are very fortunate because we are building together the project of our lives, making an impact on agriculture in a company with a purpose".
On the other hand, Aerox is a company born from the heart of another family business in the chemical sector in the third generation. Two brothers, together with a team of innovators and idealistic experts, set out to transform the mentality of society through renewable energies. Its activity consists of designing and manufacturing materials for wind turbine blades, and in a short time it has become a benchmark in the sector and has earned a reputation as a reliable company, capable of successfully tackling all types of projects.
Raúl Cortés, CEO of Aerox, wanted to emphasize in his speech that "one of the most important aspects of undertaking with the family is the fact that the new company is born with a culture and values very marked by the family relationship between the founders. Commitment to the project, responsibility, honesty and respect are values that are very characteristic of the family business, and which are not so present in the first stages of other types of companies. In my opinion, this is one of the most important (positive) differences as an entrepreneur".
During the colloquium, the speakers emphasized that the use of entrepreneurial opportunities by members of the same family brings positive aspects, such as the image of proximity and honesty, and the existence of widely shared and consolidated values in the family. This is much more difficult to achieve in new companies without this family component. Trust and a common project facilitate flexibility in decision-making. They also stressed that it is important that each member of the team (family or non-family) has a well-defined role and that there is a well-defined chain of command. The professionalization of the management bodies and the inclusion of people from outside the family bring discipline and help to separate the family aspects from the professional ones. Both speakers agreed that beyond the transmission of shares or a business project, the important thing is to transmit to the next generations values associated with effort, commitment and dedication to the professional project and the search for a purpose in the activities we carry out in our lives.
In the conclusions of the breakfast, the director of the Chair, Alejandro Escribá, highlighted the importance of addressing the role of the family in the field of entrepreneurship. His contribution covers not only the financial sphere, but also the value of commitment, dedication and mutual care among family members of entrepreneurial teams. The values of honesty, purpose and long-term perspective add greatly to entrepreneurial projects. Understanding the family dimension in new businesses, even in the most technological ones, can be fundamental for these projects to be sustained over time and to grow, avoiding, before it is too late, the tensions that can come from poorly focused family-business relationships.
