WHY IS THIS COURSE RELEVANT?
While sometimes overlooked in the broader business context, closely held firms are a dominant force for national (and global) employment, business activity and GDP. Moreover, recent studies have shown that these businesses tend to outperform and outlast their counterparts (Harvard Business Review, 2012). Admittedly amorphous, the course will begin by exploring the ambiguity of defining closely held businesses. Next, the course will focus on why and how closely held businesses can achieve these extraordinary results so that students can apply these practices to their own careers and families, regardless of the type of business.
AUDIENCE:
If you are interested or intrigued by the idea of having financial and operational independence in your business and your life, this course is for you. This class is aimed towards students who are interested in exploring alternate paths to independence and entrepreneurship afforded by closely held and family businesses. We will explore the benefits of stewarding a business to preserve and create generational wealth, while also maintaining maximum control over your business and, more importantly, your personal values and life. This course will introduce concepts relevant to investors, owners and operators who are interested in exploring or considering a long term or perpetual hold period perspective, with a focus on creating and maintaining profitability. This class will target students who are intending to manage a closely held business, either their own family’s or someone else’s, or those who will engage with closely held businesses through consulting, private wealth management, mergers and acquisitions, banking, etc. The course will also be relevant to students who are interested in acquiring a closely held business.
CLASS MODEL / PHILSOPHY OF THE COURSE:
This course will provide a theoretical and practical understanding of closely held businesses and long term ownership (15+ years). It will draw on concepts gained from other courses (managerial decision making, behavioral / relationship dynamics, tax strategy, and organizational practices and structures) and analyze them within the context of the closely held business and long term ownership.
This course surveys many topics related to closely held businesses and long term ownership. It aims to establish a foundational knowledge that inspires connections to other business courses. The course will mix theory (through cases and assigned readings) with practice (through guest presentations and student participation). Through participation and in-class conversations, the course will provide a forum where students with previous exposure to closely held businesses can share their experiences and best practices. Through these open discussions on potentially difficult topics (sibling rivalry, compensation, corruption, power dynamics, ethical dilemmas, etc.) students will have the opportunity to learn as much from their peers as from their professors, guest speakers and readings.
