Imagine this: An owner of a hair salon wakes up in the morning and heads to her studio. When she arrives, she discovers that she has no employees, no inventory, and no equipment. As she looks around, she realizes that she forgot to pay the bills, forgot to make orders, didn’t advertise and therefore, had no clients.
Although this is a pretty silly story, it is very similar to what happens when a business owner fails to prepare a succession plan.
Creating a succession plan is not that difficult once you realize how important communication is. The following are the seven steps that we discuss with clients as we talk about family business succession.
1. Communication
2. Business and estate planning
3. Leadership development
4. Trust
5. Personal resilience
6. Retirement investment planning
7. Non-key employees
All seven of these items need to be discussed as part of your succession plan. With good communication and realization of the hurdles that you need to take twice, a business plan can flourish. If you need some assistance with a family succession plan, please contact our office.
Although this is a pretty silly story, it is very similar to what happens when a business owner fails to prepare a succession plan.
Creating a succession plan is not that difficult once you realize how important communication is. The following are the seven steps that we discuss with clients as we talk about family business succession.
1. Communication
2. Business and estate planning
3. Leadership development
4. Trust
5. Personal resilience
6. Retirement investment planning
7. Non-key employees
All seven of these items need to be discussed as part of your succession plan. With good communication and realization of the hurdles that you need to take twice, a business plan can flourish. If you need some assistance with a family succession plan, please contact our office.
