Businesses across the United States don’t even know about the prospective dangers of a silent killer for their company. Up to 90% of businesses in the United States are owned by family members; however, fewer than one third of these companies will survive into the second generation. 
The statistics are even more grim for survival into the third generation, since only 10% will make it to those future family members. Business succession planning refers to the official process wherein owners decide upon a plan and research how to move forward in the event of a transition, illness or death. Estate planning strategies are often incorporated into business succession planning, and careful evaluation of factors to determine the best options must occur with the help of a business succession planning attorney.
With no plan in place, the possibility of failure is high. Numerous different issues will be considered by your business succession planning lawyer, including liquidity, estate taxes, family disagreements, ownership percentages and management capabilities. Numerous succession planning vehicles and succession planning concerns must be incorporated.
Getting the insight of an experienced expert on these matters and doing so sooner rather than later, ensures that there is an appropriate plan put in place. It is not enough to articulate your goals and primary concerns when it comes to the business succession planning process.
You must go one step further and figure out what management and training opportunities will occur now to enable those people in your company to have the best possible opportunity to step into these critical roles when the time arises. A consultation with a business succession planning lawyer will help to illuminate many of the most prominent issues involved in the business succession planning process, and will give you a forum to get your questions answer properly, so that you as well as other key stakeholders in the business are prepared in the future.
Business planning in advance puts your company on a track to be able to respond to sudden departures. If an owner or key employee leaves with very little notice, other people should be prepared to step in and respond to these concerns as soon as possible. Only when all the key players are informed about this strategy does it work as an option to protect the viability of the business now and well into the future. Talk to a business succession planning lawyer today.
