Succession planning is vital for all business owners. But that’s particularly so for family business owners.
Here are a few quick tips to consider when starting your succession planning.
• Commence succession planning early in the life of the business.
• Always keep your financial data up to date so that information is easily accessed and ready for any new plan.
• Understand the overall strategic plan of the business.
• Determine the key roles needed for the future and who will “fit” with your business going forward.
• Select a successor as early as possible in the succession planning process and then appropriately train, develop and introduce them to other key businesspeople.
• Determine the importance of family involvement in the leadership and ownership of the business.
• In addition to the successor, organise a backup of talented people who can evolve through training and involvement in the business.
• Set retirement dates for owners or founders.
• Communicate your succession plan.
• Consider all of the financial and tax implications of your succession plan.
Katrina Brennan, Principal, SRJ Walker Wayland Business Growth Advisors, Accountants and Auditors, Level 2/2 Innovation Parkway, Birtinya, 5301 9957, srjww.com.au
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