Failing to plan is planning to fail.
You’ve heard it before, but in these unprecedented times of global pandemic and turbulent economy, having a succession plan for your firm is more important than ever.
Whether you become ill, incapacitated, or the COVID-19 new order has convinced you it’s time to retire, you need a succession plan that will provide peace of mind for you and your clients.
So what are the options?
If you want the firm to continue as is, you’ll need to find a successor.
Generally, a successor should be someone who knows how to provide consistency during the transition so your clients feel confident that their high-quality service will continue.
This may be an existing business partner or a team of trusted employees who know the business and share your philosophy. This may be the most efficient option, since they are familiar with the clients and understand their needs.
A family member may be another option, assuming you have someone who is qualified or at least willing to put in the hard work to learn the business.
The final and most challenging approach would be to select an outside purchaser. Just make sure the potential purchaser shares your client service and investment philosophies. Leave time to conduct due diligence, valuation of your business, deal terms and financing. It’s imperative to plan and start early.
The one option you should never consider is to do nothing.
Let Jacko Law Group help you with your Succession Plan.
Call them, or visit jackolg.com.
I liked it the most when you mentioned that a successor should be a person who is able to deliver stability during the shift so your clients feel assured that their high-quality service will carry on. My friend mentioned that their company still hasn’t developed a business succession planning. I think it’s best to seek assistance from an accounting firm to ensure a well-suited succession planning for their company.