Not only can this prevent future generations from fully learning business operations, but it can also impede progress as the business does things the way they’ve always done them.According to experts, this reluctance to relinquish control at the right time is one of the reasons fewer than one-third of family businesses survive the transition from the first generation to the second, and only about 12% survive from the second generation to the third. Planning for both the success and the succession of your family business allows your business to grow while you develop talent and identify or cultivate strengths among your potential successors.Our process is not meant to replace the work of accountants, lawyers and other professionals — rather, to ensure that you have asked yourself all the right questions and considered all of the key issues before you visit these professionals.
Too often, these professionals find it difficult to proceed because their client has yet to make a number of personal and family decisions that will drive the planning process.
Make Things Happen has developed a process designed to help family business owners address all of the key personal, family and business issues underlying an effective succession plan.
According to Nationwide’s Survey, fewer than half of small business owners who do have a business succession plan have discussed it with their financial advisor or lawyer.
Considering how much time, effort and personal resources have been invested in making your business a success, you'll want to make sure you receive professional advice on your plan.
When you have a clear idea of what you want, then it makes sense to broaden the discussion out to include the desires of the rest of your family.
Only when the family has developed a committed vision for its future in the business does it make sense to develop a strategic plan for the business to support the family’s goals. The owner’s vision The questions are deceptively simple but the underlying issues are many and complex.
Just as you took time to examine the market and assess your needs before starting a business, it's essential that you allow yourself ample time to create your family business succession plan.
Many advisors say five years is the minimum amount of time you should allow – but more is always better.
It’s no secret that running a family business takes a great amount of time, hard work and commitment.
Often, as an owner you wear many different hats and have to move at a rapid pace to keep up with changes from your competitors as well as shifts in your industry.