If you have a family or closely held business, creating an exit strategy—and a succession plan to make it happen—serves three important purposes. You have plan to deal with the unforeseen, the random accident or unexpected illness. It gives you peace of mind that you always have the right leaders and processes in place to take your business forward into the next generation. It also ensures that the founders or owners have the financial resources to achieve their own goals after they’ve left the business.
Too many business owners focus their attention on building equity in the business and never develop financial or life plans that guide decision-making when they leave the business, either by choice or necessity.
Gaining a comfort level around the conversation of what happens next and planning for the time you step down is actually one of the most prudent business moves you can ever make.
Bring All Stakeholders Together to Establish Trust and Consent
While it’s common to fear you’ll stir up unresolved conflicts and interpersonal issues that impact close relationships, the risks of not talking about a succession or exit plan can be more damaging. No succession strategy means that you may not be around, physically or mentally, to make any decisions at all.
As your succession planning advisor, I serve as a teacher and guide to make sure that emotions and fears are managed so that lifetime goals and values can be fulfilled. Through proactive planning and moderation, I make it an exciting and inspiring process rather than one that is dreaded and avoided.
Our work will include:
- Making sure that all stakeholders are aligned with your mission
- Facilitating and moderating difficult conversations in a way that everyone feels heard and understood
- Identifying those with the leadership and business skill sets to move your business forward
- Developing roles for everyone else that allow them to feel valued and trusted and experience a high level of satisfaction professionally and personally
- Creating an organized governance structure
- Developing and reviewing shareholder agreements
If you don’t yet have a succession plan and are ready to take the next step, call me at 858-254-0898