Ownership and Management Structure
- Single Owner or Family BusinessThe single owner or the family ownership structure is still very popular. Often the single owner or ownership family owns a 100% of the company using family members as managers and production employees. Sometimes this leads to spin-off companies owned by other family members.
- Ownership and Management TeamWhile you may be thinking of starting a business on your own, in fact most high performing startup businesses today are started by highly qualified teams. A team of 2 to 5 major players is common. Each member brings a unique skill, ability and characteristic to the mix. and each benefits the total organization by their diversity. Whatever your organizational ownership, the way the business is organized for control and feedback is important.
- Employee OwnershipAn extension of the ownership and management team concept is to make all the employees of the company owners. This concept is popular in some parts of the world, but not seen very often in the US. When employees have input into the management and well as ownership they are more engaged in success of the business and are often more willing to offer changes that make the business more efficient.