Background: Traditionally, family firms are thought of as centralized institutions where power is concentrated around a single leader, yet this construct is losing ground as increasing numbers of family firms employ or have considered employing multiple leaders at top level. However, implementing shared leadership in a family firm setting provides a myriad of benefits and challenges as the two very distinct mindsets of family and business intertwine. Overcoming the challenges of shared leadership holds a promise for a thriving organization, but little is known about the controlling mechanisms family firms use to overcome the challenges of shared leadership.

Purpose: The purpose of this study is to investigate the topic of shared leadership in family firms in order to gain a better understanding what kind of implications shared leadership has for the organization and how can the family firm overcome challenges associated with shared leadership.

Method: In this qualitative research we draw upon abductive single case study to explore a family firm with three brothers sharing the leadership at the top of the organization. Primary data was gathered through eight semi-structured and unstructured interviews and with the help of open, axial and selective coding we created a final model of the mechanisms that family firms use to overcome the challenges of shared leadership.

Findings: The empirical findings proclaim that the success of the co-leadership structure lies on three types of controlling and support mechanisms: internal integrating mechanisms, external support mechanisms and appropriate structures and processes. Together these mechanisms allow the family firms to reap the benefits of shared leadership while also providing grounds for a more decentralized organization