What Are The Steps In Business Succession Planning?

What Are The Steps In Business Succession Planning?

Are you a business owner nearing the end of your career? Even if you’re not quite ready to retire, it’s never a bad idea to start planning for your business’s future. When you think about what’s next, you might be wondering what are the steps in business succession planning? We’re so glad you asked. At the Transition Strategists, we help businesses through key transitions, especially succession. It’s okay if you’re not sure what exactly should happen when. Let us walk you through it.

Understanding the Steps in Business Succession Planning

Business succession planning begins with relationships. Identify which personal and professional relationships are the most important to you at the start of your business succession planning. Our goal is to help you protect and enhance those relationships. Any succession plan that puts strain on any of those relationships, especially within your family and close friends, is not the right plan. Ultimately, it’s important to recognize that the transition will not be perfect. However, you can meet your goals, and protect your relationships, and create a win-win, for the people you care about the most.

As you start thinking about your succession plan, be clear with yourself about your goals for not only your company and successor, but for your family and yourself. By stating your intentions and destination at the outset, you are more likely to navigate any challenges or dilemmas successfully.

What Are the Steps in Business Succession Planning I Should Take?

Direction, timeline, vision, and action. The Transition Strategists will take you through these steps one at a time through our Transition Roadmap. Our Transition Roadmap is unique to each client because everyone has different goals, time frames, and options. However, this custom map does walk you through the common steps in succession planning.

We begin by asking you questions that will help you identify the direction in which you need to move. Next, you set a timeline by focusing on milestones on the way to achieving your goals. You also decide the pace. Then, you create your vision for the future. Once you have clear goals, timing, and vision, you can start taking action. We’ll help you get started with a detailed action list — so you’ll recognize when you’re meeting your goals and can hold yourself accountable to them.

Just like estate planning, it’s never too early to begin your business succession planning. Starting early will give you more runway – more time, options, and opportunities. While your plan might change over the course of time, it’s always a good idea to have some plans in place. If you’re worried about knowing what are the steps in business succession planning, trust the experts at the Transition Strategists. We can walk you through step by step to make the process less overwhelming and more empowering. Give us a call today for a complimentary consultation.

Should You Take Over Your Family Business?

Should You Take Over Your Family Business?

If you’ve been working for your family business for most of your life, you understand that family and business are often inseparable. That’s why it can be so important for the owner, whether your parent, grandparent, aunt, or uncle, that the business stays in the family for future generations. If presented with the opportunity, should you take over your family business? While you undoubtedly value your family business, take some time for reflection before answering.

Should You Take Over Your Family Business?

The short answer is: it depends. The long answer, however, begins with your relationships. If you’ve been asked to run your family business, pause and take a moment to assess your relationships. Which ones matter the most to you, and how will taking over the business change them? Maybe by becoming the owner you’ll be busier at work and have less time to spend with your family. Maybe you and the former owner will grow closer by working on the future of the company together.

Do you want to take over the family business, or do you just feel obligated to? No one can answer this question but you. Write down your goals to identify if you love what your family business does. If you’re not passionate and all-in for the family business, then this might not be the right fit for you. If you are going to take over the family business, you need to be sure that this is something you will enjoy doing. You also want to assess how it will affect your most important relationships. If you don’t absolutely love the family business but feel obligated to take it over after your parent retires, ask yourself why. Is it because you believe in the mission and vision of the company and are dedicated to see it through? Or is it because you’re the only family member left who could lead the business, forcing you to do it even though you don’t want to? Remember: both you and the owner want a good, prosperous life for the business after the owner retires.

Advisors for Taking Over the Family Business

For over 20 years, the Transition Strategists have helped families pass down their business to the next generation. If you’re asking yourself, should you take over your family business, reach out to start a conversation. Not only can we help you with that decision, but we can also help your family business carry on the legacy. If you’re unsure about whether it’s the right idea or how it will work, contact the Transition Strategists today for a free consultation.