Creating a Succession Plan is usually at the bottom of a business owners list, unless the plan is due to be actioned in the imminent future.
We recommend that this is not the case and that you start planning now even if you don’t plan on exiting the business for many years to come.
The earlier you start working on your succession plan to greater the value of your business is likely to be when it is time for you to either sell it or pass it down to the next generation. The process will be more management and the transition smooth for all the parties involved.
There are two types of succession plan options:
- Internal: sell to management or pass onto the next generation.
- External: sell to an external party coming into the business.
Once a decision has been made on which direction you are going to take, there are 5 key steps that will form your planning framework.
Step 1 Establish the timeline
Step 2 Deﬁne improvements required
Step 3 Determine the value of the business
Step 4 Explore tax implications of transaction
Step 5 Document the milestones
Consider: What external assistance do you need to
facilitate the process?
During the succession planning process, you are likely to face a number of challenges. In this webinar we will identify some of these challenges and more importantly share some tactics on how to overcome them.
You will also encounter a number of tax & structure implications throughout your succession planning. We share some great tips to help you navigate this process.
The number one question, most business owners want to know is what is my business valuation?
To help you take the first steps into answering this question we have developed this great free resource – Valuations Methods Guide.
Any finally we share some guidance for creating a clear action plan for smooth implementation and transition. We have a 10-point checklist that will help you as part of your succession planning process.
Watch our webinar on “Succession Planning Success“.