Chapter 25 - THE LAST FAMILY LOAN
Years later, Vance Hospitality faced another downturn.
Not fraud.
Recession.
Restaurants suffered.
The board considered borrowing from beneficiary trusts.
History echoed.
Matthew was now thirty.
He sat on the board.
The proposal was legal if independently approved and fairly priced.
He looked at me afterward.
“Feels gross.”
“Because Arthur did it badly.”
“Yes.”
“Does that make every family loan wrong?”
“No.”
“Then evaluate this one.”
He did.
Independent valuation.
Market interest.
Collateral.
Limits.
No preferential access.
The beneficiary trustee approved a smaller loan.
It helped preserve jobs.
Repaid on schedule.
No scandal.
That mattered.
The lesson from Arthur was not never use family capital.
It was do not confuse access with entitlement.
Governance matured enough to use tools without repeating abuse.
May you like
Matthew understood.
So did I.
