Your succession plan is just that, unique to you.  It is something that is especially customized for you.  The methods and outcomes of family and business succession for other families may not be the appropriate ones to be used for your family.

What does this mean?  You have to decide in advance, generally speaking what your goals and objectives are for the succession.  Here are a few questions for consideration:

  1. who in the family, if any at all, would be part of the ownership of the family business?
  2. who, in the family, if any at all, would be part of the management of the family business?
  3. what is your timeframe on when you wish to step away or begin to phase out of the business?
  4. and the toughest question of all, do you want to retire and pass over the reins of the business to someone else?

This last question is the one most challenging and often poses the greatest obstacle to overcome for succession to progress.  Many a family business leader has professed an interest to transition the business but never really lets the responsibility for some (often none at all) of the decisions to be left to others.  Is this you?  Your actions, in this case, generally speak much louder than your words about wanting succession to take place.

So be introspective about what you want before you embark on your succession journey.

Learn think apply!