Episode 62: $700 Million Family Business | How to Build a Legacy Without Killing Each Other with Charles Bailes

Uncategorized Mar 16, 2021

Running a small business is a challenging undertaking any day, but have you ever wondered what it’d be like to have your family members as co-workers? We are taking a deep dive into the ins and outs, the huge benefits and some of the pitfalls of life in a family business. In today’s episode we have guest Charles Bailes who works in a family business of which he is fourth generation. Buckle up for an amazing ride as we uncover some of the pivotal keys to their success and better understand the family business dynamic.

Get your free 2021 strategic planning guide at https://cathedralconsulting.com/strategy

Subscribe

Apple | Google/Android | Spotify | TuneIn

 

3 Key Takeaways

  1. Choose to focus more on the positives rather than getting weighed down by life’s inevitable downturns.
  2.  Always be looking ahead to the future rather than focusing just on the here and now.
  3. Foster a culture within your business that encourages each team member to understand their unique gifting and how they can play to their strengths.

Show Notes

 

Five defining principles of ABC Fine Wine & Spirits, a 4th generation family-owned business.

 

  • There is a fundamental pride in what you do and what is offered to the community.
  • The majority of family members start and finish back in the family business.
  • Every family member works their way up through the ranks.
  • No good thing comes without risk. Sometimes you have to challenge what others say is impossible.
  • All businesses have ups and downs: focus on the positives rather than the negatives.

 

The entrepreneurial spirit is when somebody tells someone, “that’ll never work,” and it inspires them to challenge what seems to be impossible. - Seth Buechley



What was the expectation of you as part of the family in regards to the business?

 

  • As one would expect oftentimes family patriarchs can place undue pressure on younger family members to become a part of the family business.
  • Charles however, knew from a young age he wanted to be involved in the business despite spending years in school for another trade.
  • We as humans are wired to follow after a strong father figure especially when we have a godly, caring, and selfless father.

 

I studied political science and chemistry for fun in college but I always knew I was an entrepreneur at heart, so I just went straight into the family business. - Charles Bailes



What are the dynamics of a family business and how is it different?

 

  • ABC is made up of two families and an outside board of directors.
  • The whole team has a vision and a goal for not just short-term quarterly success but long-term generational success.
  • Understand your goal so that during slow seasons you are able to budget down and set realistic goals for each season.
  • Live frugally, plan for the future and be mindful of the market so you are set up to dive in at opportune times.

 

Years and years ago our team studied our business structure and realized we needed change and understood that it would be tough for 4-5 years. However the pay off was worth it. - Charles Bailes

 

The beauty of discovering your unique strengths inside a family business.

 

  • The beautiful thing about a family-owned business is there is not undue pressure on having to figure out your unique gifting with a set time frame.
  • Everyone started in store operations but we are all now working in different parts of the business that uniquely compliment our personal strengths.
  • No one competes for each other's roles because each person was able to discover their strengths and play to those.

At a lot of other companies, they don’t give you the time to figure yourself out. Here at ABC we all did and it’s a beautiful thing. - Charles Bailes



What are some things that family businesses have to be mindful of due to their nature?

 

  • It’s not about the individual but about the family as a whole unit as a team.
  • With many companies the individual gets so much power to push their agenda and work for themselves. 
  • If a family business you have to understand the workings of the family unit and your place in it and learn to listen and respect others.

 

We have 1800 team members, 1000 dependents on health insurance, we have two families who have built the company and an outside board. It’s not just about you, it’s about all the collective family that you have to respect. - Charles Bailes



How does the leadership team drive the importance of core values?

 

  • If the leadership is not bought in it will not make any difference.
  • When the executive team is on fire about their core values it will work it’s way down into the company as a whole.
  • The result of this is a company as a whole that is of one mind and this is the fuel that drives the well-oiled machine.



I believe that you drive change from the bottom up, however, if you are driving change from both the bottom up and the top down that might just be the recipe for the rocket ship to take off. - Charles Bailes

 

Resources For You:

 

 

Close

Let's Stay Connected 

Join my email list and receive exclusive news and updates!