Although family-owned businesses are widely practiced across the world, Wise-Philanthropy and Jesse Johansson, director of communications at the same institution, continue to have successful participation and benefits for families involved in philanthropy. Two Binary Option Club case studies will be presented to illustrate the successful implementation of family business philanthropy.
Charity: Do you see a boom right now?
The charity sector is a constantly evolving sector. The Global Wealth Report, prepared by Merrill Lynch and Capgemini in 2010, indicates that philanthropists have increased their involvement in philanthropy ($ 1 million and above) in all regions except North America. The same report reveals that 35% of Middle East high net worth individuals are planning to increase their participation in charity this year. Each region and state has its own culture in relation to philanthropy. Family businesses in the Middle East seem to be booming. Two observations were brought to our attention.
While family businesses play an important role in economies wherever they are and studies often show their superiority over other companies in the long run, they face a continuing challenge in terms of succession and handover to next generation members. We have noticed that there is an increase in the number of family businesses that reach the moment when questions about transition and family governance become inevitable. This long-term vision for family businesses that strive to ensure that future generations benefit from a successful institution can benefit from the platform of its charitable work.
At the same level, Binary Option Club family businesses are becoming more global companies in their sectors and thus developing a more comprehensive and appropriate commitment to this role. These companies are likely to pursue a more global approach to the bidding process as well as continue their charitable work in their communities.
Giving Families: To what extent does it reflect the image of family businesses?
In our experience, we have often noticed that the incentive to participate in charity often stems from the desire of a family member before becoming a project shared by all of its members. Charity is a collective activity and the reasons and motives of family participation vary depending on the diversity and diversity of the families themselves. Here are some of these triggers:
Care of family heritage
The long-term vision of entrepreneurs in family businesses is based on their ambition to create value and wealth for future generations and for society as well. Sustainability is often the inspiration for business development, with these entrepreneurs hoping to benefit future generations as well as society from their success. Charity, therefore, is a natural expression of personal and spiritual values. It can express the desire to “fulfill society” and help develop actions that support the public desire to leave an authentic family legacy.
Strengthen intergenerational ties
Charity may become a common ground or a kind of neutral land that brings together parents, children, partners and grandchildren in a project outside the family business. In other words, it becomes a place for interviews, dialogues or sharing of mutual benefits for altruism and altruism. It is a great opportunity to unite and reunite family members. It also provides space for new discussion topics, especially on intangible values. Thus, it also offers an opportunity for personal growth. In a rapidly changing social, economic and cultural environment, participation in a family project can narrow geographic distances as well as gaps between generations. In this sense, charity becomes a channel of communication between different generations.
Attract the next generation
Charity may also be a learning tool that gives parents a chance
Encourage their children to share their resources and give them the opportunity to do so
Instruct them to find their own approach which will help shape their personalities
Teach one how to defend his point of view within the family
Help them absorb the value of money and teach them how to work together as a team
Explain the importance of the concept of wealth management
In this context, charities can help the young generation acquire practical skills and develop their entrepreneurial sense that will be important in life in general and of course in the business world. One way to attract young people to work in the Binary Option Club business is to have an independent financial trust fund for the next generation to enable them to allocate smaller financial grants for their own choices. This experience helps them take responsibility and gain confidence by highlighting their favorite choices.
Are there good principles for providing grants and assistance?
Donors wish to combine generosity with real opportunities. However, as one donor put it, “The hardest part is finding a balance between what the heart wants and what mind has to do. It is an endless challenge.” However, maintaining professional standards is an indispensable necessity for families that have successfully established their own companies, in other words, to master the work of charity.
The principle of “giving” refers to your choices and attitude towards what you consider to be the right behavior. “Giving” is also about choosing trustworthy people for issues close to your heart to increase the impact of this grant and to actively participate in a challenging experience. Such participation requires a very precise definition of interests to ensure that the most appropriate partners and mechanisms are found.
In times of greater transparency and responsibility, the existence of appropriate project management tools is an indispensable necessity. Project management is a complex process that requires a number of stages, including planning objectives and results, and thinking about predictability and project sustainability. Identifying a specific project within the selected institution will allow the donor to identify the partner institution closely and establish trust to increase the impact.
Strategy of Termination
The sustainability of the institution is guaranteed once it has provided its activities independently or by using a variety of means of support. Predictability of the organization allows the end of the support cycle to be expected. The termination strategy combines these two ideas, while the exit strategy allows the project planning phase (3 to 5 years). Upon completion of this phase, the component of analyzing the challenges, failures and success of the project can be used as lessons learned for future improvements. At the end of the project cycle, you can choose between renewing your support for a new phase of the project or withdrawing from the institution with the sense that you have contributed to a significant and lasting impact.
Increase the effectiveness of your post
It is important for donors to ensure that family dynamics are combined with their available resources to make a social impact. The time factor is an obstacle for many families as well as limited financial resources. Through our experience working with families, we can learn the following ways to increase the effectiveness of charity participation:
Encounter with peers
The presence of peers as a source of inspiration is of great importance. Meetings that are limited to families involved in charitable work allow donors to learn about other family styles and approaches in managing and managing their business, or discussing important issues from the strategic options of the various means and means of financing to family dynamics. This Binary Option Club opportunity to share practical experiences among peers allows donors to enrich their participation in philanthropy.
Donor-exclusive networks, such as Families in Philanthropy, offer a platform for sharing and sharing ideas among families represented by different generations who contribute to philanthropy.
Cooperation with consultants
In a dynamic variable sector, it may be difficult to choose institutions that trust you and are willing to give in areas you are attracted to or make joint decisions for the family. “They help us understand what to expect from the many projects that are before us and, more importantly, they offer their expertise in times when we might be driven by the most idealistic,” said one family member who relies on charity for consultants.
Learning through experiences
Learning from experiences is an important part of participating in charity. Participation in philanthropy involves several stages: the first phase, which is based on a few aspects that show us where the grantor can test his hypotheses by undertaking preliminary commitments; the assessment stage follows, where he determines his or her final choice, Experiences with other philanthropic participants; the expansion phase is then expanded as the initial project is expanded while improving the principles and foundations of the work; the process ends with the learning phase in which the grantor invests time in reviewing and learning from his experiences. Participation in philanthropy is a multifaceted process and it is important to allow the development and growth of the initial vision of the project.
“I wanted to include philanthropy in the family governance system”
Laure, her brothers and her sister work at the company their father founded 20 years ago when he introduced a young immigrant from Italy to France in the 1960s. His father, Mathieu, studied in the Alsace region before starting work on modernizing the old buildings owned by the steel industry.
Matthew and his wife wanted to express their gratitude for their opportunity to participate personally with their families in a charity project. “When we started thinking about a family governance system five years ago, we wanted to include a charity item and decided it was the right moment for our family to participate,” Matthew said. “We wanted to share our children and grandchildren with us in this project.” The family agreed immediately.
The family began to write values and principles that were important to its members, and this document became the first “Charter for the Family”. “We thought of working with our husbands and wives at points that distinguish our family and what brings us together, and what is a fixed value and a firm principle for all of us,” she explains. The charter inspired them with the idea of founding the charity they set up a year later.
Since then, the family has supported almost a dozen projects in France and abroad. All members of the family participate in the decision-making process, which adds value to charity and unites family members. This is particularly important for spouses and non-working spouses due to their strict family rules. However, they are encouraged and encouraged to participate and play a role in charitable projects for the family, which helps to strengthen and strengthen family values.
Lauer believes that this clear family approach to philanthropy was in fact a good choice and a right choice. Allows the maintenance of charitable family activities separate from the company’s policy for each entity played its role effectively according to its guidelines without subject to the constraints of the other, even if similar values and motives between them. The reputation of the family or the company will not be in danger if one of them is subject to criticism.
Establishing a legacy
Ahmed inherited the financial company from his father and made it more profitable than before. Both Ahmed and his wife believe in the values of simplicity and respect that have been instilled in them in the context of their family, where they raised their four children to humility. When the older boys left, the dynamics of the family changed, and it turned out that it was the right time to assemble all the boys around a project that embodied those values and principles.
Ahmed and his wife were already donating to various institutions in the community. “It is important for us to share with our children the values that parents instilled in us,” he said. By attracting them to participate actively in this project, they are also encouraged to spend more time together, so that they can get to know each other better despite the geographical distance imposed by their different places and fields of study. Finally, this project was also an opportunity to give children an idea of the process of managing financial assets.
After assimilating their parents’ ideas and principles, Yasmin and her four brothers agreed to enter the challenge. In the early months, the boys identified their first project: providing assistance to young people in difficult circumstances. They began their projects in locations close to them, particularly in Lebanon. After learning many culturally similar situations, they decided to expand the horizons of their projects and move them to other areas.
Three years after the project, the parents are thrilled to see their children grow up with the spirit of initiative and the ability to make collective decisions, as well as the desire to support smaller projects. “They do not feel that they are giving in to others, but feel that they are sharing them, and this in itself is an encouraging thing and is full of lofty values,” Paul said. Looking to the future, they are now studying the idea of a charity in the hope that it will encourage children to make donations and assistance from their income in the future.