Nothing in this life is permanent. As hard as it may be to face up to it, business owners have a duty to ensure that future plans are in place when the time comes to depart.
Rather remarkably, though, almost half of family business owners don’t have a current succession plan. Without this strategy in place at the crucial handover point, chaos could follow. It’s no great coincidence, then, that only a meagre 12% of family-run establishments make it to their third generation.
Failing to create a plan can have disastrous consequences for both the business and employees. Should the head of the company have to step down suddenly or pass away, there’s the issue of who inherits the business and who takes to the helm.