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Family businesses are the cornerstone of the economy

He is the first person in the Netherlands to be appointed a professor of family business, lectures on the Supervisory Cycle at Nyenrode, holds supervisory directorships at several family businesses... Like no other, Roberto H. Flören has an insight into the development of and appreciation for family businesses. "A number of political parties even have family businesses in their party manifesto. "Text: Bart-jan Brouwer

Where does your interest in family businesses come from?

"I was born and raised in a family business. My grandfather started selling and repairing typewriters in 1934 in Gouda, my father also started working in Flören Office Machine Trade when he was 14. With the rise of computers, the prospects diminished. My sister and I, the third generation, chose not to succeed my father. After sixty years, the company was sold to someone who still saw a future in that industry."

Were you not required to get into the business as well?

"No, absolutely not. We had other interests. I played soccer at a high level: for thirteen years I played at Feyenoord. When I let my coach, Leo Beenhakker, know that instead of four I was coming to training only three nights because I thought school was important, I was immediately kicked out. I don't think I would have ever made it; it is really a rare thing. Of my generation, only Mario Been and Peter Barendse broke through. I still follow soccer. Once every eighteen years I get to cheer... After my studies at Nyenrode Business University and my military service, I joined Nyenrode in 1991. That would be a year, but I'm still there. In 1992, Walgemoed, a multinational network of accounting firms, together with London Business School, did research on family businesses. The firm wanted that research also conducted in the Netherlands through its branch there. Walgemoed chose Nyenrode as a partner and came to me by chance. Within six months I was in all the national newspapers as an 'expert on family businesses'. That is quite fast in the Netherlands, even though I knew myself that I was not yet an expert. Over the past thirty years, however, I have worked hard on that. My specialty is not so much in business matters, but in how you deal with the business as a family, how those dynamics work, how to avoid conflicts, how to make sure everyone stays together, how to transfer to the next generation..."

You have held the RSM Chair in Family Businesses and Business Transfers at Nyenrode since 2002. How do students feel about working in the family business?

"That has changed tremendously. When I started in the 1990s, every student's ideal was to go on a trainee program at Unilever, Heineken, Shell or the big banks. Back then, if you started your own company, people thought you couldn't find work. After several stock market and accounting scandals and the time of the financial crisis, listed companies were seen in a completely different light and the appreciation for family businesses only increased. After all, family businesses do not suffer from an overblown bonus culture, executive salaries that depend on the stock market price and panting shareholders. Family businesses do not think in terms of quarters, but in terms of generations. The image has changed from dull, boring and dormant to challenging, sexy and 'that's where it happens'."

What is the advantage of working at a family business?

"In these times of increasing individualization, it is important to still belong somewhere. Family businesses are much more loyal to their staff, as evidenced during this pandemic. They do much more to retain staff: the owners are willing to forego dividends and dip into equity. A publicly traded company is more likely to announce a reorganization to positively influence the stock price. So yes, it definitely has advantages. Plus: you know who you are working for. Conversely, the director also knows who is working for him or her. On average, an entrepreneur stays on for twenty-two years, the chairman of the board of a company listed on the AEX only for four years. There is a very different bond between employee and employer, and it offers flexibility in time, work and money. That's what makes it beautiful."