Developing Succession Planning Strategies

Developing a list of questions to consider, as part of a succession plan review, will assist in the determination of a succession planning strategy for a business.

The key questions to be answered could include:

  • What do you want to achieve from the business?
  • Are you building the business for a lifetime of activity for yourself or for an exit in the near future?
  • Have you identified your fears relative to succession planning?
  • Have you thought about options for the existing business?
  • Could a partner buy you out?
  • Could you introduce a new partner into the business and then exit?
  • Could you hand the business on to a family member?
  • Could you appoint an external CEO/General Manager to run the business on behalf of the family, especially if you want to “skip a generation” and retain the business within the family?
  • Do you think the business is “exit ready” or “succession ready” at this stage?
  • What are the greatest concerns you have for the operation of the business?
  • Can the business survive with less reliance on “you”?

These are some of the questions you should be considering in detail, in planning a succession strategy for the owner or senior manager of a business.

If you would like to have a discussion relative to the development of a succession plan, please don’t hesitate to contact the accountant our office.

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