KEEPING IT IN THE

By Georgie Desailly

Despite the age-old saying “don’t mix business with pleasure,” family-owned and run businesses often defy this ‘conventional wisdom.’ In fact, for some families, working together is just a natural part of life. Such is the case for Anne Musumeci whose family has been part of the Donohues legacy for three generations. “I was about 12 years old when I started working with my dad at our business in Mount Isa,” says Anne, who is now at the helm of the Townsville store. “Back then we had three stores – Donohues in Townsville, Mansworld in Mount Isa and Donohues in Boulia.” This year marks a significant milestone for the local business as it celebrates four decades of operation. However, the roots of the brand can be traced back to 1929 when it all began as a small enterprise in Boulia.

“We’re now onto the third generation of my family, and if you go right back to the origins of my business, it was two generations of the Donohues family before my parents became partners with them,” continues Anne.

“After living overseas for a while, I came back to Townsville and dad asked if I could come back and help him out at the shop until I found a job, and here I am 20 years later. I bought the business in 2013 and haven’t looked back.”

Family-owned businesses like Donohues Townsville play a significant role in the Australian economy, accounting for around 70% of all businesses in the country and employing approximately 50% of the workforce, according to the Australian Small Business and Family Enterprise Ombudsman.

But there is, of course, an added layer of complexity, with many facing unique challenges such as managing family dynamics within the business setting, as psychology expert Dr Jo Lukins notably points out. “On one hand, there are many benefits to working with family members. They often share a common vision and goals, understanding and trust, all of which can make working together easier and more productive as everyone has a vested interest in the business’ success,” explains Jo, who is the author of best-selling books Elite and In the Grandstands

“On the other hand, working with family members can also be a challenge at times. Family dynamics can complicate relationships and make it difficult to separate personal and professional issues. There may be a greater risk of people struggling to differentiate between their roles as family members and business partners.”

“Recognising and respecting these differences can be the key to successfully navigating the path of working with family in a business setting, and can ultimately set people up for business success.”

For Anne, having her family by her side is a blessing that has given her a greater understanding of the importance of maintaining family values and traditions while adapting to the changing business landscape.

“We spend so much time at work; how great that we get to share that with the ones we love,” muses Anne.

“I’ve worked off and on for 20 years with my dad and I miss him now that he’s retired. There were plenty of character-building moments, but he taught me the value of hard work and honesty, and our business is built on that.

“There are obviously simple challenges like years ago, when dad, mum and I made up 75% of our staff. We’d have to miss out on events or other things because no one else was there to open the shop if we all went away.

Although Anne’s transition to ownership was “straightforward” since none of her siblings were involved with the Donohues store, many family-owned businesses regularly face challenges in this area. Yet despite the importance of succession planning, Greg Redington, Director of Coutts Redington Chartered Accountants says it is often overlooked, especially in the early stages of a business’ development.

“Succession planning for family-owned and operated businesses is crucial, however in a lot of cases when businesses are small and just starting, this is something a lot of families do not discuss, especially if they are first time business owners,” explains Greg, who has been working with his wife Chris (who’s in the role of Business Manager), for over 25 years.

“It helps to minimise potential conflicts among family members and provide a clear path for decision-making and future growth. It can also provide an opportunity to assess the strengths and weakness of the business and identify areas for improvement.

“At the end of the day, communication really is key and it’s so important that family businesses seek professional advice to ensure the succession plan is legal and financially suitable for all parties, and something they are implementing from the start.” Jo agrees and remarks that clear communication is essential in navigating the complex interplay between family and business.

“Despite these challenges, families often have a shared vision and a deep-rooted sense of loyalty which creates a culture that is both unique and successful,” continues Jo.

“To achieve this, establishing clear boundaries and expectations, maintaining open communication and seeking outside help when needed are all important things to consider.

“It’s also crucial to remember that while family members may have a deeper level of trust and understanding, they are still individuals with their own unique perspective and ideas.

“But, at the end of the day, my favourite thing is that we get to spend more time together. There’s that connection and understanding; I know my family understands what we’ve built and why it is such a big part of our life.”

With her children now showing a keen interest in the business, it seems the Donohues legacy as a familyowned operation will continue for years to come.

“My son has started working with me during the school holidays and my two girls love coming into the shop all the time, they’re my cheer squad,” reflects Anne.

“I am grateful that life steered me in this direction. I wouldn’t have it any other way, and if my kids decide this is their path too, that would be the next chapter in this little family business story.”