Fold ‘Em or All-In? A Dealer’s Guide to Succession Planning

Bet, fold, bluff, raise, and all-in. These are all common words when playing a game of poker, or as some call it, Texas Hold’em. Would you believe that just as with playing poker, these words could also be used when talking about succession planning?

Do you want to “bet” that your business will continue to the next generation? Will you go “all-in” on a possible successor? Maybe you should just “fold” and sell your business off? Axe the poker puns, and you have some serious questions that are asked by business owners every day.

Succession Stats

If you were a poker player and you looked at the odds, or statistics, of a business successfully transitioning to the next generation, you would more than likely “fold” when thinking about passing it on to a successor. Approximately 70% of family owned business will not make it to the second generation, and of those that do, 90% of those businesses will not make it to the third generation.

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If you'd like to read more articles by Jeana Goosmann, follow her blog here or on  JD Supra here. If you have any questions on the above, don't hesitate to contact Goosmann Law Firm below. 

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