Background: Family businesses are a common form of enterprise in bothSweden and Italy and have long been an underexplored subject that hasincreasingly attracted the attention of researchers. This study aims to conducta comparison between the countries of Sweden and Italy and gain insightsinto how family business operates in different contexts and culturalenvironments.Purpose: The purpose of this study is to conduct a comparison between thecomposition of boards in family businesses in Sweden and Italy and evaluatehow financial performance differs between these two countries.Method: To achieve our purpose, we conducted a quantitative study inwhich we utilized multiple regression analysis to identify relationshipsbetween explanatory variables and firm performance. The study also appliesresource dependence theory, agency theory and institutional theory.Conclusion: The composition of the board of directors has a significantimpact on companies' financial performance, and the differences betweencountries are evident. In Sweden, it is common to have a higher proportion ofindependent board members, which shows a positive correlation with highercorporate performance. On the other hand, Italy has a higher proportion offamily members in the boards, which has a negative impact on financialperformance. Another significant factor is that a larger board size has anegative effect on companies' returns. This has negative consequences forItalian companies, as they have a higher proportion of board members.Overall, these findings underscore the significant role of board compositionin companies' financial performance.