Articles A family business is a long-term business
Using investment to change the world is not only a realistic ambition, it's also the foundation for good business practices. Thinking long-term comes naturally in a family business, where the heirs in entrepreneurial families have a close knowledge of what previous generations have built and achieved.
In many respects, creating social and environmental impact is closely related to how sustainable the business is in the long-term. For example, investing in training and HR has a positive social impact for employees but is also critical to help the business reduce the cost incurred by high employee turnover. Companies also need to protect the natural resources they rely on for raw materials, because failing to do so can threaten the long-term viability of their factories and operations.
As investors receive and expect increasing transparency about the impact products and companies make on the world, business owners will need to think about impact as a standard part of running a company for the long-term.