Working with Family: The Unseen Power Starting a business is always challenging, but when the company is run by family members, the dynamics can shift.

Jake Webster, managing director of The Seventy Ninth Group, a Southport based asset management company, has learned firsthand how working with relatives can be a competitive advantage - despite the common reservations many people have about mixing family and business. Through his experience, Webster reveals how family bonds can be the secret sauce for business success, offering invaluable advice to others considering entrepreneurial ventures with close relatives.

The power of family ties in business

When asked about the one piece of advice he wishes he had before starting his business with close relatives, Webster is quick to point out a key lesson: family can be a strength rather than a hindrance. "While some people may have reservations about mixing family and business, the most valuable lesson I've learned is that family ties can be a competitive advantage, not a liability," he says.

For Webster, his family connections are not a drawback but a driving force behind the company's rapid growth. "Since we began The Seventy Ninth Group, we've become the UK's fastest-growing asset management company, and that wasn't despite being a family-run business, but because of it," he explains. The trust and familiarity that comes from growing up together offer an innate advantage in business decision-making. "When you've grown up with each other and trust each other implicitly, you can lean into areas of expertise and make decisions with conviction, knowing the other partners have your back," he adds.

This deep-rooted trust allows the team to navigate challenges and disrupt traditional models in asset management. "It's this approach that has enabled us to disrupt traditional asset management and identify value where others see only risk," says Webster. A common fear when working with relatives is that business pressures may strain personal relationships. However, Jake believes that the right practices can allow both the business and personal relationships to thrive. "Most would probably assume that setting clear boundaries and defined roles would be the best way to maintain family relationships and business success. However, we've found that our most powerful practice is maintaining an open-table policy," he shares.

The Seventy Ninth Group's success, according to Webster, lies in its culture of inclusivity and collaboration. "Recognising that everyone's voice matters has been crucial in our expansion from real estate to private aviation and beyond," he says. This open-table policy allows the business to function more like a collective, with all family members encouraged to contribute their thoughts and ideas. "We've cultivated an environment where ideas flow freely, and conventional thinking can be challenged safely," he continues.

This approach is perhaps counterintuitive for a family business, where hierarchy and structure are often prioritised. Yet, for Webster, this collaborative mindset has been the key to the company's flexibility and ability to move quickly. "When we're evaluating new opportunities or facing challenges, we gather everyone around the table, encouraging input from all corners of the business," he says. This inclusivity not only benefits the business but also strengthens the familial bond. "This practice of collective thinking strengthens both our business acumen and our family bonds, as it builds on our core values of trust, honesty, and integrity," he adds.

A golden rule

For those considering launching a family business, Webster's advice is clear and untraditional. "My golden rule for a successful family business is to forge your own path. Every family unit is different, so every family business will operate in its own unique way," he explains. The Seventy Ninth Group's success has stemmed from not following conventional business models. Rather, the company's flexibility, innovation, and shared entrepreneurial spirit have propelled them forward.

At the heart of this advice is the understanding that family businesses are not one-size-fits-all. "At The Seventy Ninth Group, we've succeeded because we don't constrain ourselves to traditional business models or conventional wisdom," Webster reveals. By thinking outside the box and embracing the entrepreneurial spirit inherent in family ties, they have created a company that is both successful and resilient. "Our ability to move faster and with greater conviction comes from our shared entrepreneurial spirit and our willingness to see opportunity where others see risk," he says.

A balancing act

The key, according to Webster, is maintaining a balance between the personal trust that comes with family relationships and the professional standards required for business success. "The key is to build on the natural trust and understanding that comes with family ties, while maintaining the professional standards that drive business success," he explains. For family businesses, finding this balance is crucial, as the blending of personal and professional spheres can easily lead to conflict if not handled with care.

When family members share both business goals and the courage to think creatively, Webster believes they can create something truly special. "We've found that when family members share not just business goals but also the courage to think differently, you create something truly special," he concludes.

Today, The Seventy Ninth Group stands as a testament to the power of family collaboration. From its humble beginnings to becoming one of the UK's fastest-growing asset management companies, the firm has navigated the challenges of scaling while maintaining its familial roots. This growth is not just a product of business acumen but of the shared values and trust that underpin their success.

Working with family can be a double-edged sword for many entrepreneurs, but it can also be the secret weapon that drives success. By embracing the unique advantages of family ties, fostering collaboration, and maintaining a strong foundation of trust and professionalism, families can build businesses that not only survive but thrive across generations.