Why do you need a Succession Plan?
Often people don't like to think about succession, let alone retiring. However, one day you'll inevitably leave your business. Whether you decide to sell up, retire or leave due to health reasons, it's essential that you plan for that day. A succession (or exit) plan outlines who will take over your business when you leave.
How important is a succession plan? It's essential as it can affect personal relationships, family, staff, customers and suppliers. Life's circumstances can be unpredictable!
By planning your exit early, you can maximise the value of your business while helping to meet future needs. Succession planning should be addressed at least 5-10 years in advance of implementation.
Mapping out a plan provides for the highest chance for success by:
- being financially independent at your desired retirement age,
- being able to pass your clients on to a successor,
- preparing for catastrophes, and
- realising maximum value in all scenarios.
The benefits of succession planning:
- Choose when you wish to retire.
- Minimise disruptions for your clients.
- Maintain continuity of employment for staff.
- Maintain suppliers' credit terms.
- Retain the confidence of banks and financiers.
- Manage lease and loan liabilities properly.
- Reduce the pain of forced retirement.
- Avoid conflict with business partners.
- Maximise the value of your business.
- Ensure adequate funds for yourself and your family.
- Increase the number and quality of potential successors.
Consider this, if you don't want to leave your business and your wealth to chance, then plan to ensure security for your family, your business and yourself.
We offer a range of supporting measures to assist you in building your succession strategy in the following areas:
- Succession Planning
- Retirement Planning
- Estate Planning
Our services offering also considers the following matters:
- Where are you now?
- What are your goals, needs for succession?
- What would a successful plan look like for you?
- What key concerns do you have?
- What is your ownership model going to look like in the future?
It can be challenging to discuss, but if a plan is established well in advance, then the emotional issues will be reduced.
Helping businesses achieve their goals is our passion, and our strength is in our dedicated professional team.
Make the time today to book an appointment to discuss the benefits of Succession Planning with one of our expert advisors.
If you would like to print this information please click here for PDF format.