The topic of this master's thesis is the family business which represents a link between the two key terms of the paper: family and business. The present thesis contains definitions of the basic concepts of entrepreneurship and it shows how a family’s wishes, desires and goals influence their business. The paper describes the importance of management and special attention is given to decision-making processes and leadership practices in a family business. It presents a life cycle and development model of a family company, as well as its various succession plans. The construction company FI-MAN, Ltd. was used as an example of a family business.