The newspapers are full of unfortunate stories about family business owners battling each other in court. They fight for a variety of reasons: inheriting the business, profit sharing, or even a reserved parking space.

Most of these arguments have common ground in anger, jealousy and control and are sparked by sibling rivalry, insecurity and self-esteem issues.

Sound like your family? Perhaps, but it is important to keep your family focused on the performance of your business and out of the courtroom.

How can family business owners stay out of court and stay on speaking terms? It requires consistent attention to the dynamics of your family and your business structure and a thoughtful approach to managing the details of the relationships as well as the details of the business.

Consider these important tips that may just keep everyone on speaking terms.

Tip One – Give every owner the same opportunity to participate in the operation of your business. After all, if one family member feels left out or feels that their opinions are ignored, it is likely that their feelings of isolation will lead to disagreements that will land you in court.

Tip Two – Give all family members an equal financial stake in the business. This should not to be confused with equal control of the business but rather an equal opportunity for profit or loss. While some may be “silent partners,” disgruntled family members may not remain silent if they feel they are not equally accounted for.

Tip Three – Experts agree: Communicate, communicate and communicate. Every family member should know which business decisions are being made and what the successes and failures are. Make sure that all owners have a voice and everyone is clear about the agreed-upon strategies and tactics that will lead the company where it is headed.

Tip Four – Be specific and predictable when it comes to compensation and bonuses. Avoid complicated formulas and be clear about decisions on paying dividends versus retaining money in the business. While it may seem superfluous, be sure you have written policies regarding distributions and income tax liability.

Tip Five – Pick the best owners to control the business, but also leave all owners a future way out with a buy-sell agreement. Differentiate between those who work in the business and those who don’t in terms of ownership, authority and compensation. And make succession clear. Don’t leave the next generation to deal with an ownership stalemate or a weak management regime.

Tip Six – Don’t let family members use the business as a personal bank. In other words, no loans, credit cards for personal expenses, or personal travel at the company’s expense. While it may seem natural and convenient in a family business, mixing personal and business spending can spell disaster and spark disagreements that can make your lawyer’s head spin.

Even the happiest and most successful family business can benefit by planning for the possibility of conflict. With a little work and consideration beforehand, you can decrease the chances of damaging family arguments.

And if a disagreement should arise, you’ll be more likely to keep everyone on speaking terms.

You’re in this together, but let’s avoid finding everyone together in court.

The technical information here is necessarily brief. No final conclusion on these topics should be drawn without further review and consultation. Please be advised that, based on current IRS rules and standards, the advice contained herein is not intended to be used, nor can it be used, for the avoidance of any tax penalty assessed by the IRS.

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