There are various aspects to our approach in order to successfully address the issues of transition planning.
First, succession plans generally fail due to interpersonal issues, rather than technical issues. Skilled professionals, such as lawyers and accountants, can devise a plan on paper, one that may make a lot of sense, at least to one set of stakeholders, such as the parents. The problem is that one or more of the other stakeholders, the next generation, may not agree with the plan, even when well-intentioned.
What to do? Due to our extensive experience with family businesses, we realize that these situations require a deft touch. The solution is the handling of interpersonal dynamics.
Second, focus on implementation. The standard trope is that 80% of plans fail for lack of execution. A business owner engages an expert who provides a great plan—and it ends up on a shelf.
That’s not our approach. We put together actions plans for all our recommendations and then work with the client to implement those plans.
We emphasize best practices to our clients. We have worked with enough companies that we can help clients understand how to succeed. View our recent blog series highlighting the ten factors of success reflected in a number of our clients that have been in business for more than 50 years.
To see how you stack up against these companies take our quick ten-question “Assessment.”
As a thought leader in the field of working with family business owners, we have written many blogs. View all ELO Counsel related blog posts >>