The purpose of this study was to describe the present circumstances and set backs of the family
owned business in Pakistan. The current study has described the characteristics, types and the
threats to the family business in Pakistan. This emphasizes on variables that differentiate
successful family owned businesses from non successful family owned businesses. It also shed
light on the mode of financing that are used by the family business and also on the succession
plan that is adopted by the family business. This is a secondary data based study and the data is
gathered from the past research papers, newspapers, dissertations, economic bulletins and
websites. This analysis demonstrates several key findings, literature analysis reveal six different
factors that are necessary for the success of the family business. It also describes the threats
that are faced by the family business and this research paper also suggests a model to cope up
the threats to the family business. This study describes that if there will be a clear vision, shared
values, clear procedure, expectations and proper succession plan, this will show the way to
acquire the success of family business. After analyzing the threats this study suggests ten
different dynamics which will be helpful to meet those threats. The study also describes the
ways and procedures that are necessary for the survival and growth of the business after each
succession.