Many business owners and family-owned businesses struggle with the issue of succession. It is often something that is put off until “tomorrow.”
After all…who wants to contemplate one’s own eventuality? Acknowledge that someday the reins must be handed over to – who? Retire to a life of – what?
Day by day, “tomorrow” turns into ten, twenty and even thirty years later; and then the “importance” of addressing the issue of succession often becomes an emergency…a series of panicked, knee-jerk, not-well-thought-out actions that are not well-planned, not well-executed, and, almost always, not satisfactory to either the business owner or others involved in the matter as well.
Our succession planning team – experienced tax practitioners, experienced merger & acquisition consultants, experienced estate planning professionals, and experienced business consultants – takes the time to talk with our clients over time to help them understand that succession planning is a process…sometimes one that can take many years to formulate and implement. Our approach involves planning not only for the actual transactions that result in business ownership changes; we also attempt to lay the groundwork for other important concepts such as how a business can help to develop the businesses’ leaders of tomorrow through education, training and mentoring today; how establishing certain trusts and integrating planning ideas can help to preserve a family’s wealth now and for generations to come, regardless of the eventual disposition of the business; and how to develop incentivizing executive compensation programs that will help to retain the critical knowledge base that exists among a company’s executive management team.
Our philosophy is that it is never too early to begin thinking about and planning for the succession of your business. Legacies are not built in a day; and neither are solid, strategic succession plans.