For Olympic relay runners, a successful race depends upon a successful baton hand-off. The same is true in business. Your business’s future success will depend on how you hand it off to the next generation. Follow these three steps to transition your second-generation business to your children.
First, start succession planning early and involve your family in the process. An attorney can create a plan that takes your family members’ interests and desires into consideration. The sooner you begin to prepare, the higher likelihood of success.
Second, consult with a business attorney and financial advisor to choose the best method of legal transition. There are advantages and consequences associated with different options.
Third, take the time to train and prepare your successors before the transition takes place. Openness about the future sets the company up for a smoother transition.
Don’t drop the baton. Talk to an attorney today to help you transition your second-generation business to your children.