The process of choosing the next generation successor(s) is often more difficult in family businesses than their non-family counterparts.
One of the biggest challenges associated with this process is the difficulty that the current owners have in letting go of their business.
What We Do
- Preparing successors for leadership and ownership is an integral part of any succession process. Ensuring a grooming plan is in place for all the potential successors will help the current owners obtain an appropriate level of comfort with respect to the successors competencies, work ethic, and commitment to the family business.
- In order to minimize the conflict arising from the exit of a family member from the ownership ranks, all exit strategies (death, disability, incompetence and voluntary exit) should be clearly identified, agreed upon and included in the shareholders’ agreement.
- Communication is key in both the management succession and ownership succession processes. In effect, it could be said that communications is the key element in a successful succession process.
- All businesses eventually reach a stage where their processes and procedures need to be formalized. Walsh FBAS realizes that the opportunities that the family business creates for the family would not exist without the business.