Main Article Content
Entrepreneurial activities encourage growth and development in Jordan while boosting the economy. Rationalization process in large organizations and inability of informal sector in creating new jobs have contributed to the rapid expansion of family businesses in Jordan, and yet, in examining the country’s socio-economic progress, the input of these businesses has not been adequately examined. Family businesses have been facing challenges, and many have failed. This study thus explored the challenges faced by family businesses and by small and medium enterprises operating in Jordan. A conceptual framework was proposed. This study used secondary data from books, articles, reports, and electronic media. Entrepreneurial and family business experts were the units of observation. Market situations, policy and regulation of government, and infrastructure were the challenges faced by family businesses. Family-business relationships, compositions of management and governance, cash flow and cost control, succession, planning, in addition to skilled labor, also posed challenges to these businesses. Potential future research areas were discussed.