Many business owners fail to engage in the process of business succession planning to begin with and this can expose the company they have worked so hard to build to financial jeopardy. However, many business owners have good intentions of installing family members in roles of the future to help the continuation of the company but sometimes this is not the appropriate move.
Family members who are placed in roles that they are not qualified to fill could also jeopardize the future of the company. An essential component of business succession planning is enabling qualified individuals to be trained and placed in the role of the owner or other managing partners in the event that one of these people dies, retires, becomes disabled.
If family members or other individuals in the company do not have the basic skillsets and talents as well as the opportunity to train under the person in the original position, then succession planning may require intentional mentoring, development and employing the right individuals.
Consulting with an attorney in Pasadena about the business succession planning process is strongly recommended for any company owner who is concerned about his or her future and the right way to protect their company.
