|
|
Family Business Succession
Our approach to succession planning is comprehensive and holistic and we provide an objective, non-judging perspective of the business and all of the key players.
We use definable, repeatable tools and processes that are extremely effective at:
- defining the issues
- developing the plan
- delivering results
We have a unique and highly effective 6 step process for isolating family system issues that prevent, interrupt, or destroy the succession planning process. These 6 steps are:
- Finding out what each generation really wants and courageously deciding if succession is a good idea or if selling the business to someone else is better. (We help them say the hard things to themselves and each other, interviewing everyone who is involved... both in the business and not). After we listen to all that needs to be said, a vision of the future that is agreeable to everyone is articulated and written down.
- Assuming succession is desired, we help the client formalize a plan of succession with a time line. This plan has to include the three overlapping circles of relationships: Family, Business Management, and Ownership. The objective of the formalized plan is to keep the family dynamics out of the business. The time line is ideally a 10 year plan. Clearly, a company often doesn't have 10 years, and it has to be done more quickly.
- Helping the client to prepare the successor(s). Key questions we address here are to find out how the successor(s) will be trained, whose job it is, and if it works... i.e., is the successor ready? If not... then we help the client face this and deal with it effectively.
- Implementation of the transfer of management: We help the clients to formalize a system of support and accountability for the successor(s) to ensure continuation of effective management (often this means helping them set up a board of advisors or formal board of directors.)
- Implementation of the transfer of ownership according to well thought-out plans in consultation with competent legal and financial advisors to best fit the needs of both generations and the health of the business.
- We help the senior generation to exit the business and move on enthusiastically to their next step. (Often a compelling vision of the future outside of the business is needed in order for the seniors to step aside gracefully. We help them to create this and then to move on with a system of support and accountability that often includes other retired business owners.)
|
Case Study - How Succession Planning Works
The Paramount Plastics Company was taken over by Stanley Pendleton, when he was 32...Read more
The Lovins Group is a leader in uncovering and resolving the family system dynamics that prevent, interrupt or destroy succession plans for family businesses
- Do you ever feel tension when you think about retiring and you aren't sure if your kids are ready to handle things on their own?
- Do you ever worry about your own future after leaving the business and what you are going to do next?
|
|
|
