Succession planning is vital for all business owners, but particularly 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 and 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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