The purpose of study is to explore the linkage between emotional ownership and technological innovation in family firms. How emotional ownership is associated with technological innovation in FSMEs remains unaddressed. Scholars agree that emotional ownership plays a crucial role for family small to medium enterprises (FSMEs), leading to increased knowledge exchange and their ability to implement technological innovation. Yet, little is known about the effect of the emotional and cognitive side of ownership on FSME’s ability to manage knowledge and technologically innovate.