For successful family businesses to transcend generations, an element of succession planning has to be core to the developmental strategy of the business. However, many business owners look at succession planning as a single event which we consider to be a less than optimal approach to continuity. We are firm believers that succession planning requires careful consideration to critical decisions and well conceived process of transitional ownership of the business and the family’s assets will serve a family extremely well in generations to come.
Succession planning should also account for the family’s history, core values and preparation of future leaders of the family’s business and assets. This should ensure that the transition from one generation to the next is seamless.
Succession planning will also factor in strategies for addressing potential conflicts from within the family with the dual purpose of maintaining an effective structure to facilitate sound leadership while ensuring solid family relations are maintained.