Video: Dividend Policy in 5 Minutes
A few weeks ago we released our newest booklet, “Dividend Policy in 30 Minutes.”
The purpose of this booklet is to help family business directors formulate and communicate a dividend policy that contributes to family shareholder wealth and satisfaction. From the perspective of family shareholders, dividend policy is the most transparent element of corporate finance. Dividend policy addresses both how much cash flow should be distributed to shareholders and the ideal form of such distributions.
Whether you read the digital copy, requested a physical booklet, or haven’t gotten a chance to look at it yet, in this short video Travis Harms explains how to go about the decision-making process regarding distribution and why considering various shareholder characteristics and business attributes matters. Travis highlights how the balance between shareholder certainty and board discretion can foster a better understanding of maintaining the sustainability of the business and help promote positive shareholder engagement.