Secrets of Thriving Family Businesses

What allows some family businesses to thrive for generations while others struggle through succession, conflict, or stagnation?

In this episode, Michael Palumbos sits down with Derrik Kassebaum of Cosmos Corporation to explore the lessons learned from building a family-owned company from a basement startup into a global business serving customers in more than 70 countries. Derrik shares the remarkable story of joining the company straight out of high school, helping grow the business alongside his father and brothers, and eventually navigating the difficult transition from founder-led leadership to a professionally managed organization.

The conversation dives into some of the most important challenges family businesses face: succession planning, leadership transitions, family dynamics, ownership structures, communication, and knowing when to let go. Derrik offers candid insights into how trust, humility, shared values, and a clear purpose helped Cosmos Corporation evolve across generations while preserving both the business and the family relationships behind it. Family business owners and next-generation leaders will walk away with practical lessons on building a lasting legacy that extends beyond financial success.

Next Generation Leadership Legacy & Values

“You have to focus on your why over your get. You need to understand why you started the company and stay focused on that instead of what you're going to get out of it.”

Derrik Kassebaum

Key Takeaways

➜ Thriving family businesses know when to let go.
Growth often requires leaders to release control and trust others to take the organization forward. Cosmos Corporation's transition to a professional leadership team became a critical step in its continued success.

➜ A clear purpose creates long-term alignment.
The company's mission provided a decision-making framework that extended beyond products, profits, and generations. A strong purpose helps families navigate change without losing their identity.

➜ Family members must earn opportunities on merit.
While family members may receive opportunities, lasting success requires accountability. Roles, compensation, and leadership positions must be based on capability rather than family status.

➜ Communication matters more than ownership structures.
Legal and financial planning are important, but family business success often depends on honest conversations, humility, and the willingness to understand different perspectives.

➜ Preparing future owners requires more than transferring shares.
Passing ownership is only part of succession. Families must also pass along values, history, lessons learned, and the purpose behind the business if they want the legacy to endure.

Guests Appearing in this Episode

Derrik Kassebaum
Owner of Cosmos Corporation, a second-generation family-owned company that grew from a small startup into a global pet care business serving customers in more than 70 countries.

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