The purpose of this study is twofold: to document the current research trends, significance, and actual situation of family business in Germany, and to describe the characteristics of family business work, workers, and interactions influencing work and family functioning in Germany. For this purpose, this study reviewed the sate of family business in Germany through out theoretical approach and secondary national data. In addition, this study collected in 1998 data through face-to-face interviews with female family business managers in Germany. Results of the present study indicate that family business plays a very important role in the economy of Germany. More than 85% of all companies are family businesses, which produce over 60% of GDP in Germany. The notable characteristics of family business households were the high proportion of home owners, high education level of the family business manager, high involvement of family members in family business. Also the high work sati faction among the family members who worked in family business, the effect of family business work on family life, and effect of the family on business success were extremely positive.