If one looks at the history and economy of Malta, one will find it has been a very family oriented society with family businesses being part of the economy in an important way. Mostly with property but also changing according to the times the way the economy developed.
It’s important that we appreciate that these are the backbone of our economy and unless we focus on them, we will not learn how to deal with the positives and the negatives that exist in these structures.
There are major vulnerabilities in family businesses and we have to understand how to deal with these vulnerabilities, they won’t be as long-lasting as we would hope.
If one looks at for instance the management structure in families, how one succeeds from one generation to another. We have to deal with these in the law, we have to discuss them in the families, we have to plan for them for the future. And you know, the law in this regard enables this kind of discussion and even creates some incentives to encourage family businesses to work towards much more stability and longer-term thinking.
So if I had to look at it from a perspective of a law firm, clearly you know our lawyers deal with property, deal with small businesses, deal with this issue of personal relationships within families and it’s important that we all appreciate that focus is the only way to bring success into this area.
Senior Partner, GANADO Advocates