Family businesses play a very important role in the world’s economy. Chinese family businesses grow quickly after the reforming and opening of China’s economy since 1978. We focus on the management problems, the relationship between ownership and managerial authority in small and medium-sized family businesses which play an important role, especially in the southeast coastal areas of China. From now on is the peak period of China’s first generation of family business transfer to the second generation successor and family management deficiencies have become increasingly prominent in the further development and enlarge process. It is good time to separate the ownership and managerial authority, employ professional managers.But there are also have some problems and difficulties during this process.The main content of the thesis is “why”, “how” and “what” about the issue of separation the ownership and managerial authority, employ professional managers.We focus on the reasons and difficulties to separate. And how does family business operate in the pattern of professional manage.At last we will get the conclusion and point out some recommendations