Succession planning: Having the tough conversation
For a family business, transition is typically a once-in-a-lifetime decision. Whether selling the business, keeping the business in the family or transitioning leadership to heirs or a non-family stakeholder, the issues are immense. And as if the business, emotional, legal, and technical issues weren’t challenging enough, consider this fact: less than half of family businesses survive into a second generation.
Passing the baton is clearly top of mind for family business owners as we learned in PwC’s survey on the next generation of family business leaders: “Bridging the gap - Handing over the family business to the next generation".
It starts with a plan
Tackling the issues of business transition and succession may be difficult but the health and longevity of a family business depends on approaching the issues head on, developing a well-thought out plan and communicating the results of that plan to the right stakeholders at the right time. Doing so will increase the likelihood that your business will endure well beyond the transition delivering lasting value to your family.
Turning change into success
We have an experienced team, deployed across our global network of firms, which is dedicated to helping family business owners as they develop and execute each step in their business transition and succession plan, so that the whole process runs as smoothly and efficiently as possible.
With business transition and succession your leverage tends to diminish with time. The decisions you make will affect the future of your business, customers, employees—and, most importantly, yourself and your family. Therefore it is often wise to solidify your plan sooner, rather than later.