Successful Succession Planning
Calls for a Deliberate Process
You’ve built a successful business, but have you thought about how you’ll make your exit? The business likely represents the vast majority of your wealth — so how you monetize it for retirement is an important component of your financial picture.
It’s easy to put off planning when you’re focused on day-to-day operations, or because you think you have an idea about who will take over your business and how that will look. Yet the time to address succession planning is five to 10 years before your expected exit date, because creating a successful plan is a deliberate and complex process.
Here are some key aspects to consider, which we can walk you through as you do your own planning.
When it comes to your business, talk with family members early and often about their desires.
Family-related issues grow with the family tree as more members stand to benefit from the work of a few. You’ll need to resolve these questions, and more, regarding family members:
For your company’s financials to look impressive to a prospective new owner, we will help begin laying out a plan to show the business’s growth potential, profitability, and return on investment.
Questions that our team can help you explore include:
Tax-Efficient Ways to Sell
It’s not what you sell the business for but what you keep that’s important. For example, an employee stock ownership plan is an excellent way to sell a business, or you might also consider financing some or all of the sale. We will help you understand your best options when it comes to tax liability issues related to the sale of your business.
Exiting your business can be daunting, but you don't need to do it alone. Our team is waiting to assist you through every step of the process. Contact us to schedule a consultation.