Family dynamics are complex, and every family is unique. This can make planning for the transfer of ownership of a family business complicated. In these articles we will offer our experience of working with families to improve communication and avoid common problems of generational transfers. Families that aren’t afraid to have difficult conversations can more easily work together to decide what is best for both the family business and the family itself.
In our Business Planning series of articles we discuss how families can create systems in order to implement a larger succession plan for their businesses. This would include when it’s advisable to engage outside professional help and which professionals to consult.
When the time comes to transfer the value of your business wealth, there are steps you should take to maximize the value of those assets and minimize the tax impact this transfer has. In these articles we will discuss how to protect the wealth you have accumulated so you will be able to use it to accomplish your future goals.
It can be challenging to implement the many smaller goals of a succession plan. Business owners often prioritize the day-to-day needs of their companies over long-term planning. They procrastinate on making decisions that require hard conversations or real change. Here we will talk about how to make the smaller goals happen and how to remain accountable to the larger succession plan so that the end goal of a successful sale will happen.
What are your goals for your business when you are no longer wanting to or able to run it yourself? Why do you want to increase its profitability - to help your retirement goals, to provide for your family? Or do you have larger goals for the company itself? Sorting out your own goals and priorities is the first step to making any of those things happen. Then you need to identify whose leadership the business needs in order to move forward, whether that’s a family member, a hired CEO, a current manager or employee, or someone else. Who can you trust to lead your company to further success?