During olden times, businesses were a family affair. The business is usually run by the patriarch and he trains his sons and daughters to take over the business someday – thus, they are passed from generation to generation.

This business model has been successful for some, especially small businesses and family enterprises. But for a big majority of Medium to Large Businesses, owners are always advised against hiring family members. 

There are a lot of benefits to hiring family members especially when a business is just starting out. Lower salaries and hiring people you can trust are among them. Also, for family enterprises, keeping things in the family is a big plus because family members are easier to manage.

Things get trickier as the business grows larger as hiring family members for big businesses could raise a lot of red flags. Owners could be accused of favoritism or nepotism. And there’s also the danger that the relative could be under performing or slacking off because they know they would never be reprimanded or fired.

Working with family members could be an awesome experience and if you lay the ground rules early on, there will be little danger that this could turn into a messy family affair.

The most important thing to establish when working with family members is open and honest communication. As with any relationship, this is a very significant aspect. During assessment period good employers are ready to give honest feedback based on metrics and performance. They don’t skirt around issues of less than par performance and often give credit where credit is due.

This should be the case for all employees, even relatives. Employers should be able to give honest assessments and not worry about hurting a relative’s feelings. Alternately, a relative should be able to take feedback without making it a personal issue.

It would be best if employers keep their personal and work life separate. This can be done a number of ways. Physical separation, for one, could be helpful. Having a different office or workspace from a spouse, can send the message to employees that you are both working on your own thing and not just canoodling around. You may also have a relative report to someone else, other than yourself. That way you can work freely without anybody being accused of “hovering” over the other.

Agree before hand not to discuss work during family time and vice versa. Establish boundaries like not allowing your son to call you “Dad” at work – and especially no terms of endearment like “Hun” or “Honey” from a your spouse. You can ask them to  call you by your first name, or whatever the rest of the employees call you.

Build trust and always be respectable. You would want others to see the talent and skills you see in your relative so don’t be overly critical or too fawning. Lastly, be honest with other employees about your familial relationships. This builds trust not just with other employees, but strengthens your relationships as well. As always, remember to: Stay Humble, Hustle Hard. Good luck!

Written by Jaie O. – The Help