Succession Planning

Business succession planning involves planning for the smooth continuation and success of a business which depends greatly on the availability of competent people. Without succession planning, a business that has become successful can just as easily fail. The business grows because there is a leader with experience , drive and ability. Without the proper succession planning, the future success of the business is left to chance once that leader is gone. Without proper planning, the clashes of views and agendas can pull the business in several directions.

With so much at stake, business succession planning has to be a priority and should be part of every business planning. There are two main options available to business succession planning, which are:

1. Retention planning: retention of the business within the family.
2. Buy-sell planning: Selling of the establishment to other business owners or key employees or interested outsiders.