It's a Family Affair Excerpted from: Planning a Family & Business Legacy Learn More

Almost everyone has had the experience of coming across a product somewhere and thinking "I had that idea years ago - I should have patented it and started a business!" The difference between "almost everyone" and small business owners is that it's not "I should have" but "I did." If you're a first-generation small business owner, you are among the minority of people who actually followed their dream and made it happen.

The poet, Robert Frost knew something about human nature. He wrote:

The world is filled with willing people; some willing to work, the rest willing to let them.

Every entrepreneur can relate to Frost's insight.

The successful business entrepreneur is a special breed. Not only does he have a good idea, but he also has the personality, work ethic and determination to make the idea profitable. The ability to dream big dreams and follow through on them is a distinguishing characteristic of the entrepreneur.

There was a time when some people thought that there were no more good ideas to be had. In fact, Charles H. Duell, commissioner of the U.S. patent office, said in 1899 that the government might as well close down the patent office: "Everything that can be invented has been invented," he said. Think of all the patents issued since then! Surely no true entrepreneurs were among the skeptics. Take a single example, Thomas A. Edison. Edison certainly disproved the notion that there was nothing left to invent. Most of his earth-changing inventions came about well after Duell's comment. There probably never was a more productive entrepreneur than Thomas Edison. So much for the notion that we'll someday run out of entrepreneurs with new ideas - thank goodness!

Who are these people? We know they have ideas and determination, but what else puts them solidly in the class of people "willing to work," as Frost says in the quote above?

Well, for one thing, they have the ability to face defeat and disappointment over and over again. Edison is again a compelling example. Would you have the patience to try thousands of different materials for the filament of your electric light bulb idea before finding the one that works? If you're a successful entrepreneur, you probably would. Most successful business owners have tried and failed multiple times before finally getting the combination right. Very seldom does a great idea simply drop out of the sky. It is almost always the result of much effort and hard work.

Interestingly, the attributes that contribute to the making of a successful entrepreneur are the same attributed that often work against planning for the future of the business. Planning for the next generation of leadership requires careful analysis of the business and the attributes of the potential new leader or leaders. Careful planning is simply not what the typical entrepreneur is about.

Adding to the problem of business succession planning is the fact that most business advisors are not likely to challenge the thinking of the first generation leader. They are far more likely to try to determine the desires of the entrepreneur and attempt to codify them in legal documents like buy-sell agreements and estate plans. What wrong with that, you ask? Well, this approach may meet the immediate needs of the entrepreneur but it in no way assures the future of the business.

To be successful, the business plan must take into account the strengths and weaknesses of the current leadership as well as the strengths and weaknesses of the future generation of leaders. The planning process for the future of the family business must include the entire family. To do anything less is to jeopardize the future of the business and potentially risk the family's entire wealth.