Succession Planning for a Family Business
One important consideration that will eventually need to be addressed in a family-run business is who will take over running the family business when you want to retire?
This can be difficult when a family business relies on the skills and knowledge of one person whom is integral to the success of the business. Their skills, knowledge and expertise have been honed over many years and may be difficult to replicate.
Another issue is selecting the right people who will be able to take over the business who have the right mix of abilities and willingness to do so.
You may find some advice online or choose to work with a consultant who can help develop a plan for the future.
We have some ideas for putting together a succession plan for your business:
- Do your research- many resources are available online
- Shadowing in the business may help learn the ropes
- Consider mentoring the person along the way
- Consider training to fill skill gaps
- If the replacement offers a different set of skills and abilities, you may choose to restructure the business to accommodate them. Outsourcing or hiring to fill the gaps while utilising your replacement’s strengths. Businesses are not static, the strategic plan needs to fit for the future.
- Have a timeline for the plan to work, so expectations are articulated and all parties are working toward the same goals.
This doesn’t have to be a stressful time. With some careful planning, organising a succession plan can work to keep a business evolving, even when you are no longer in the business.
If you need help selecting the right training options, we can help. Contact us today.