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Is What’s Good for the Business, Good for the Family: A Financial Assessment

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  • George Haynes
  • Joseph Onochie
  • Glenn Muske

Abstract

Small business prosperity doesn’t necessarily translate into family prosperity. This study utilizes the first and second waves of the National Family Business Survey to explore the influence of changes in key business financial measures on objective and subjective measures of family success. Increases in the available cash in the business from higher gross sales or net profits brings more cash into the household, while increases in the market value of the business increases the amount of money spent on other household assets. A more subjective assessment suggests that positive changes in the business financial measures create a more positive perception of the business’ success; however, these positive changes have no influence on a more positive perception of the family’s success. Copyright Springer Science+Business Media, LLC 2007

Suggested Citation

  • George Haynes & Joseph Onochie & Glenn Muske, 2007. "Is What’s Good for the Business, Good for the Family: A Financial Assessment," Journal of Family and Economic Issues, Springer, vol. 28(3), pages 395-409, September.
    • Handle: RePEc:kap:jfamec:v:28:y:2007:i:3:p:395-409
    DOI: 10.1007/s10834-007-9069-4
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    Cited by:

    1. Jane Glover, 2010. "Capital Usage in Adverse Situations: Applying Bourdieu’s Theory of Capital to Family Farm Businesses," Journal of Family and Economic Issues, Springer, vol. 31(4), pages 485-497, December.
    2. Tia Michelle McDonald & Maria I. Marshall, 2018. "Family Business Responses to Household and Business Cash-Flow Problems," Journal of Family and Economic Issues, Springer, vol. 39(1), pages 163-176, March.
    3. Tansel Yilmazer & Holly Schrank, 2010. "The Use of Owner Resources in Small and Family Owned Businesses: Literature Review and Future Research Directions," Journal of Family and Economic Issues, Springer, vol. 31(4), pages 399-413, December.
    4. Yoon Lee & Cynthia Jasper & Margaret Fitzgerald, 2010. "Gender Differences in Perceived Business Success and Profit Growth Among Family Business Managers," Journal of Family and Economic Issues, Springer, vol. 31(4), pages 458-474, December.
    5. Amber Remble & Maria Marshall & Roman Keeney, 2014. "Household Saving Behavior and the Influence of Family-Owned Business," Journal of Family and Economic Issues, Springer, vol. 35(3), pages 411-422, September.
    6. Renee D. Wiatt & Yoon G. Lee & Maria I. Marshall & Virginia S. Zuiker, 2021. "The Effect of Cash Flow Problems and Resource Intermingling on Small Business Recovery and Resilience After a Natural Disaster," Journal of Family and Economic Issues, Springer, vol. 42(1), pages 203-214, March.
    7. Said Muhammad & Kong Ximei & Shahab E. Saqib & Nicholas J. Beutell, 2021. "Women’s Home-Based Entrepreneurship and Family Financial Position in Pakistan," Sustainability, MDPI, vol. 13(22), pages 1-14, November.

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    Keywords

    Business; Family; Financial; Success;
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