Many small businesses are transferred to a 2nd or 3rd generation of ownership. This can be difficult as the founder wants to ensure that the future generation is capable and ready to assume ownership while the next generation may want the founder to just get out of the way.
This process falls into 3 categories:
Preparing to transfer which includes :
- Will it be a gift, a purchase, or a blend of the two
- Knowledge gaps of the next generation
- Siblings, Spouses and ex-spouses
- Tax issues
In the process of transferring which includes :
- Clear understanding of each person’s role
- Communication to staff, customers, and suppliers
- Conflict resolution
Transfer has taken place which includes :
- What areas are working and what areas are not
- Correcting misunderstandings
- Advice and counsel of the founder
- Review of any planned changes
I can help navigate and mediate the many areas that need to be addressed to make the transition as smooth and painless as possible.
I have 1st hand experience in transferring ownership of a business to a next generation. Simply, the more things discussed and agreed upon in the beginning will save much heartache later.