Building a business is about more than a way to make a living. Your company is part of your legacy.
Over the years, your business has been a model for caring for your community and providing for your loved ones. Eventually, it will be time to help your company move into a new chapter with new ownership.
Here’s what you should know about creating a plan for your business’s future.
Gauging interest
Passing your business on to someone who does not share your passion can defeat the purpose of passing on your company. While they may keep it afloat for a while, eventually, a disinterested owner will not be able to sustain the business.
Some of your family may be clearly on one side or the other when it comes to taking over your business. For many, however, you will need to have an honest discussion about whether they are interested in stepping into your shoes.
If you find that the person you intended to pass the business to is not interested, having the conversation gives you the information you need to start looking for a more suitable candidate. On the other hand, the conversation could reaffirm your plans, giving you peace of mind as you continue the planning process.
Supporting development
Once you clarify who will take over the business, you will need to take the time to set them up for success. You learned many lessons in your journey; now it is time to help your successor have a better platform, so they do not find themselves making the same mistakes you did.
The earlier you start preparing your successor, the better foundation you can build for them. During this time, you can help them understand what sets your company apart and how every aspect of the business works.
Your business succession plan can help your company provide for your loved ones for years to come. While there are many steps along the way, it is essential to start early and get guidance from a skilled professional.
