Abstract: FINANCIAL MANAGEMENT PRACTICES IN FAMILY-OWNED BUSINESSES
This study investigates financial management practices in family-owned businesses. Objectives include identifying unique financial challenges faced by family-owned businesses, evaluating effective financial management strategies, and assessing the impact of these practices on business performance. A survey research design is used to collect data from financial managers in family-owned businesses. Using Taro Yamane's formula, a sample size of 250 family-owned businesses in Lagos, Nigeria, was determined. The reliability coefficient score of the survey instrument is 0.88. Findings indicate that family-owned businesses face unique financial challenges, such as succession planning and resource allocation, but effective financial management practices can significantly enhance their performance. Recommendations include adopting formal financial management structures and practices to ensure long-term sustainability and growth.
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