Succession Planning

What is your vision for the succession of the business? Will your family business carry on or will you sell it? Did you know that more than 70 percent of family-owned businesses do not survive the transition from founder to second generation?

Successful transitions require early planning and a thorough implementation of a winning succession plan strategy. Business succession planning is comprised of three main issues; management, ownership, and taxes. The Family Business Center’s succession planning advisors can help you develop a well thought out plan that helps you resolve and avoid future family conflict and prepare the way for a happy and worry-free retirement.

When considering succession planning, you should think seriously about the answers to questions like these:

• What “legacy” will you leave to your family and community?
• Has your vision for the business and your family been discussed and detailed?
• How will your succession plan impact your family members?
• What is the personal vision of each individual family member about succession?
• Is your business’ strategic plan able to support your vision and your family’s vision?
• Have your successors been properly trained in most aspects of owning and running a business?
• How will future ownership be structured? Has that been communicated?
• Does your family see itself involved in the business and if so, how?
• How will you treat your other children “fairly” (not necessarily equally)?
• Who will help you facilitate your decisions for succession, and manage expectations, issues and conversations with family members and stakeholders?
• Do you have a “Second Dream” or passion?
• How will we prepare for our kids’ control of the company?
• How do we plan for the smooth succession of our company’s management and operation – before we retire – and how do we protect ourselves and the kids while doing it?
• How do we handle conflict and make sure that we treat all of the kids fairly? Are "fair" and "equal" the same?
• Will we run out of money if we retire now?
• What outside interests will I have when I retire?
•How will ownership be transferred