Principal Bonnie Schindler wrote an article in Family Business Magazine discussing a recent survey (conducted by CAP and MLR Media) on executive compensation for family businesses. This is the third iteration of the survey, which includes 300+ family businesses, representing a wide range of industries and revenue sizes. However, more than half of the respondents have revenue of less than $50 million, so the summary results skew toward smaller businesses. More than one-quarter of respondents represent manufacturing companies, but many other industries are represented. The survey asked respondents to provide compensation data for 10 common executive positions and to provide an overview of pay practices, such as compensation philosophy, salary increase budgets, bonus plan design and spending and long-term incentive design. This article summarizes key findings from the 2023-2024 survey.

The May/June 2022 issue of Family Business Magazine features CAP’s article highlighting the results of our CAP-MLR Media proprietary survey of Family Business Executive Compensation. This article discusses how family businesses can develop an effective compensation package using the data provided in our survey.

Partner Bertha Masuda discusses the difficulty boards of family businesses have in finding the proper balance between management and compensation shareholder earnings. She presents four main questions to help evaluate the alignment between the performance measures and goals of the management compensation program and the objectives of family shareholders.

Partner Bertha Masuda provides Family Business readers with tips on hiring and interviewing a compensation consultant.