“The best time to plant a tree was 20 years ago. The second best time is now.”
Succession planning is a process rather than an event. It begins at the outset and continues throughout the duration of the family business. Whether yours is a family enterprise or closely a held business it is never too early to begin.
Most entrepreneurs have never gone through a succession planning process. It may seem premature to be planning your exit from a business you are still in the process of growing. However careful succession planning is a standard practice of successful multi-generational family enterprises.
We help our clients:
- Build a succession process that supports multi-generational families
- Clarify and articulate family values, vision and long-term goals that support a successful transfer of ownership and leadership
- Explore individual and family levels of commitment to the business
- Develop policies and procedures for next-generation employment that help avoid challenges such as nepotism
- Clarify requirements of the next generation leadership in the context of the business strategy
- Develop systems to support meaningful family career opportunities
Succession planning consists of two equally important parts:
- Preparation of agreements and documents for the transfer of operations and ownership.
- Next generation development
We help family enterprises foresee challenges to the future of the business by guiding them towards a realistic assessment of the next-generation family members to whom the ownership and control of the business will pass. We call their attention to essential questions such as:
- Does the next generation have the leadership skills needed to head the family and the business?
- Are younger children struggling to understand their roles or clarify their positions in the family and in the workplace?
We then aid in developing and implementing a proactive approach to deal with challenges such as:
- Mentoring the next generation
- Making compensation decisions
- Team building
- Developing a board of directors or advisors
- Outgoing CEO new-life transition
- Career development for family members who are not in the business
- Family members transition out of the family business
- Stress management