In families, culture shapes how succession is discussed, but it rarely changes the fundamental questions that need answering:
Family businesses can look very different from the outside. Some are formal, with boards, advisors and documented plans. Others remain founder-led, guided by instinct, relationships and the daily presence of those who built them.
Some are multi-generational Australian families. Others are families who migrated to Australia and built successful enterprises underpinned by different traditions around authority, communication, obligation and family responsibility.
On the surface, these businesses may seem very different. But when succession issues arise, many face the same core issues.
That is why I keep coming back to one of my favourite phrases, “same language, different dialects”.
Across different cultures and family backgrounds, styles vary, but the core succession challenges remain largely the same. Who is ready to lead? How should the next generation be prepared? How do you differentiate between being part of the family and being suitable for a role in the business? How do you balance fairness with merit? When is it time for the founder to step aside? And how do families safeguard both the business and the relationships during leadership transitions?
These are not challenges unique to one culture. They are family business challenges.
Culture absolutely shapes how these issues are expressed. In some families, expectations are discussed openly and early. In others, they are handled more carefully, indirectly, or only when change cannot be delayed any longer. In some businesses, children are expected to build credibility outside the family enterprise before returning to it. In others, they are brought in early and developed from within. In some families, hierarchy is explicit. In others, it is present, but largely unspoken.
Those differences matter. But there are differences in dialect, not in the underlying language.
In fact, families around the world have been warning each other for centuries about how fragile intergenerational wealth and stewardship can be. While in many different languages, the warning remains pretty much the same. In China, wealth is said not to last beyond three generations. In the United States, they say “shirtsleeves to shirtsleeves in three generations”; in the Netherlands, it’s “clogs to clogs in three generations”; and in Japan, it’s “rice paddies to rice paddies in three generations.” Italy talks about going “from the stables to stars and back within three generations,” Brazil describes the “rich father, noble son, poor grandson,” Spain mentions the “first-generation trader, second-generation gentleman, third-generation beggar,” and Scotland warns that “father buys, son builds, grandchild sells, and his son begs.” Different images and different histories, but ultimately the same message: without proper planning, discipline, and stewardship, success can be built in one generation and lost in the next.
One of the biggest errors families and advisors can make is assuming that because a family communicates differently, its governance or succession needs must also be fundamentally different. In reality, these businesses require the same disciplines: clarity on roles, agreed decision-making processes, development pathways for the next generation, and a way to separate family emotions from important business decisions.
Succession is rarely a single event or a straightforward decision about who assumes the top role. It is usually a longer process that involves preparing the family, the business, and the next generation simultaneously. It demands capability, timing, credibility, communication, and trust. Often, founders need to shift from being primary decision-makers to supportive roles. Likewise, the next generation must earn its place not only through being part of the family but through experience, judgment, and contribution.
Many family businesses, regardless of cultural background, face the same challenge here. The family wants continuity, but continuity doesn't happen automatically. It needs to be planned, discussed, and ultimately tested in practice.
That is why governance matters. Practical governance that fits the family and the business. Where, through a process, clear roles are defined, forums for discussion and decision making are established, and transparent expectations are set.
For some families, these conversations will be straightforward. For others, they may need to be introduced more slowly over time, sometimes with the support of trusted advisors or facilitators. That is where culture truly plays an important role. It influences the best way to approach the conversation but should not determine whether the conversation happens at all.
Families who manage succession well tend to understand this naturally. They stay true to the substance while remaining flexible in delivery. They recognise that each family has its own history, style and sensitivities, but they do not let those differences become an excuse to avoid the hard work of succession.
In that sense, family businesses across cultures are often far more alike than they first appear.
Yes, there are different family stories and customs and yes, culture can lead to different expectations about leadership, control and legacy.
But underneath it all, the same hopes and anxieties keep surfacing: preserving what has been built, preparing the next generation responsibly and protecting family relationships and wealth.
That is why, in family business succession in Australia, it is so often the same language, just different dialects being used.
About the Author
Stephane Cooper
Stephane Cooper is Head of Family Office (VIC/NSW) at EWM Group, advising ultra-high-net-worth families and family offices on governance, investment strategy and wealth transition. With more than two decades of experience across firms including Morgan Stanley, JBWere and Citi, he brings a practical, governance-led perspective to helping families navigate succession, structure and next-generation readiness. His work is grounded in the belief that while every family is different, the principles of stewardship, communication and long-term planning remain universal.
