Imagine this: A farmer wakes up in the morning and heads out to the field to harvest. To his astonishment, he finds that there is not a crop growing and all he sees is a bunch of weeds. As the farmer thinks about what went wrong, he remembers that he forgot to plant the crops.
Although this is a pretty silly story, it is very similar to what happens when a farm and ranch business fail to prepare a succession plan. They have no crop and no legacy for the future.
Creating a succession plan is not that difficult once you realize how important communication is. The following are the seven steps that we discuss with clients as we talk about family business succession.
1. Communication
2. Business and estate planning
3. Leadership development
4. Trust
5. Personal resilience
6. Retirement investment planning
7. Non-key employees
All seven of these items need to be discussed as part of your succession plan. With good communication and realization of the hurdles that you need to take twice, a business plan can flourish. If you need some assistance with a family succession plan, please contact our office.
Although this is a pretty silly story, it is very similar to what happens when a farm and ranch business fail to prepare a succession plan. They have no crop and no legacy for the future.
Creating a succession plan is not that difficult once you realize how important communication is. The following are the seven steps that we discuss with clients as we talk about family business succession.
1. Communication
2. Business and estate planning
3. Leadership development
4. Trust
5. Personal resilience
6. Retirement investment planning
7. Non-key employees
All seven of these items need to be discussed as part of your succession plan. With good communication and realization of the hurdles that you need to take twice, a business plan can flourish. If you need some assistance with a family succession plan, please contact our office.
