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What Family Business Therapy Actually Is—and What It Isn't

Written by
Tom Skotidas
Published on

In my work as a family business psychotherapist, I find that most families contact me after they have tried everything else — and most of them have no idea what therapy with me will actually involve.

They picture a couch. They picture talking about feelings for an hour while nothing changes. They picture something slow, soft, and disconnected from the reality of running a business.

None of that is what happens.

In this article, I describe what family business therapy actually looks like — what happens in the room, what I ask people to do, and why it works when other approaches have not.

What People Expect

Most business families arrive with assumptions shaped by popular culture or colleagues who have been in individual therapy.

They expect to sit and talk. They expect me to listen and nod. They expect insight — an explanation of why they do what they do — followed by advice on what to do differently.

Family business therapy is none of these things.

What Actually Happens

The first thing most clients notice is that I am not passive. I do not sit back and wait for the conversation to unfold. I am tracking — watching how people speak, when they shift, what happens in their body the moment a difficult topic is raised.

I notice the moment a director becomes a son. I notice the moment a business conversation becomes a family confrontation. And I name it — while it is happening.

"Something just shifted. Thirty seconds ago you were two shareholders discussing a capital allocation. Right now your voice has changed and your posture has tightened. What just arrived?"

That question is the beginning of the work. Not retrospective analysis. Not a discussion about what happened last week. A live, present-moment inquiry into what is happening right now — in the body, in the room, between the two people sitting across from each other.

I explored the sequence beneath these shifts — the suppression process that turns ordinary business conversations into survival events — in my article on meaning-making.

The Work with Individuals

When I work with an individual family business leader, the session is not a conversation about their problems. It is a series of experiments.

I might ask a client to make a statement out loud — something they believe about themselves or their role — and then sit in silence for fifteen seconds. No talking. Just sitting with what the statement produces in their body and mind.

Then I ask them to say the opposite. And sit with that.

A founder who says "I am ready to hand over" and sits in silence may notice tightness in the chest, a rising sense of dread. When they say "I am not ready to hand over," they may notice relief — followed immediately by shame.

That data is more accurate than anything a conversation could produce. The body does not lie.

I also use role play — but not in the way most people imagine. I embody the person or the inner voice that is hurting the client — the critical parent, the dismissive sibling, the internal voice that says you are not enough — and I invite the client to respond to me directly.

This is uncomfortable. It is meant to be. The client is exposed to the emotional charge they have been avoiding — but in a controlled environment, with a therapist who can help them work through it. They practise speaking from the emotion beneath the anger. They practise drawing on their values to stay present when everything in their body is telling them to shut down.

"I know you want to look away right now. Stay with me. What do you want to say to this voice?"

When they say it — when they speak directly to the thing that has been running them — something shifts. Not because they understood something new. Because they did something new.

I also work with identity. I ask my clients directly: who are you? Not what role do you play. Not what does your family expect. Who are you — right now, in this room?

Most family business leaders have never separated who they are from what they do. When the role is threatened — by succession, by conflict, by a sibling who challenges their authority — the self feels threatened.

The work is not to change who they are. It is to help them fully own who they are right now. You cannot leave a place you have never fully inhabited.

The Work with Pairs

When I work with two family business members — a father and daughter, two siblings, a married couple running a business — the therapy room becomes the boardroom.

I do not ask them to talk about their conflict in abstract terms. I invite them to recreate a specific business conversation — a board discussion about capital allocation, a succession planning meeting, a strategy disagreement — and replay it in the room.

The same psychological pattern that derails the conversation every time shows up here too. Patterns do not know they are in a therapy room.

I track the moment the conversation shifts from professional to personal — and I name it.

"You started as two directors. You are now a mother and son. The shift happened when the topic of the Melbourne office came up. What happened for each of you in that moment?"

Once the pattern is visible to both, I invite them to break it. To do something different at the exact point where the pattern usually takes over. To speak from the emotion beneath the anger. To stay present instead of withdrawing.

And then I add something most people do not expect. I invite the person who has been hurt to coach the other on what would actually reach them.

"If he could do one thing right now — a gesture, a sentence, a movement — that would tell you he sees you, what would it be?"

She might say: "If he could just walk toward me, look me in the eye, and say 'I hear you' — even if I look angry — I would let him in."

And then he practises it. In the room. Right now.

When we break the pattern here, the family leaves with two things: a repaired relationship and a business conversation they can now actually finish.

The Work with Families

When I work with a whole family, I invite each member to describe one specific behaviour they would need to see from the others to believe things had genuinely changed. Not a feeling. Not an attitude. A visible, practisable behaviour.

"It would be a miracle if my father responded to my ideas before checking whether my brother agrees with them."

"It would be a miracle if we could disagree in a meeting and both leave the room still feeling like family."

Once each person's needs are named and the others confirm they are feasible and aligned with their values, I invite each person to practise them in the room — with me tracking and interrupting when the old pattern tries to reassert itself.

What It Is Not

Family business therapy is not coaching. Coaching focuses on forward-looking goals and accountability. It does not work with the client's past — the figures who hurt them, the relational scenes they absorbed in childhood, the behavioural adaptations that are now driving present-day reactions. I explore how these adaptations form in my article on trauma in family business.

When a leader's current behaviour is an adaptation to something that happened thirty years ago, coaching has no mechanism to reach it. Coaching also has no established evidence base for dyadic work—and when the unit of treatment is a relationship, not an individual, that gap matters.

Family business therapy is not mediation. Mediation focuses on resolving the stated position. It does not work with the emotional reality beneath it — the fact that a sibling's demand for a larger equity share is an expression of a childhood wound that no equity structure will resolve. Mediation produces an agreement. The agreement holds until the next triggering event reactivates the same pattern.

Family business therapy works at the layer beneath both—the emotional, relational, and behavioural patterns that determine whether coaching and mediation can hold.

Why This Matters

If you have tried governance restructuring, mediation, coaching, or new advisors—and the same patterns keep returning—the issue is not at the level of strategy or structure. It is at the level of emotion, meaning, and behaviour. I explore the three reasons conflict keeps returning in my article on why family business conflict keeps coming back.

The work is not slow. It is not soft. It is direct, experiential, and focused on producing change that the family can feel in the room, not just understand in theory.

The advisors you work with are equipped to manage the business. Family business psychotherapy works with the people carrying it — so the business can move.

I hope you find this helpful.

References

  • Beisser, A. (1970). The paradoxical theory of change. In J. Fagan & I. L. Shepherd (Eds.), Gestalt therapy now (pp. 77–80). Science and Behavior Books.
  • Elliott, R., Watson, J. C., Goldman, R. N., & Greenberg, L. S. (2004). Learning emotion-focused therapy: The process-experiential approach to change. American Psychological Association. https://doi.org/10.1037/10725-000
  • Greenberg, L. S. (2017). Emotion-focused therapy (Revised ed.). American Psychological Association.
  • Hayes, S. C., Strosahl, K. D., & Wilson, K. G. (2012). Acceptance and commitment therapy: The process and practice of mindful change (2nd ed.). Guilford Press.
  • Pugh, M. (2017). Chairwork in cognitive behavioural therapy: A narrative review. Cognitive Therapy and Research, 41(1), 16–30. https://doi.org/10.1007/s10608-016-9802-z
  • Wagner-Moore, L. E. (2004). Gestalt therapy: Past, present, theory, and research. Psychotherapy: Theory, Research, Practice, Training, 41(2), 180–189. https://doi.org/10.1037/0033-3204.41.2.180

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