Did you know that family businesses comprise 50% of the gross domestic product of the US? That includes mom-and-pop groceries, farms, restaurants—all the way up to Fortune 500 companies, where 35% of the companies on the list are operated by families. The family business is critical to our economy, and that importance continues to grow, with family businesses accounting for about 60% of the jobs in America and 80% of all new jobs created.
What’s your exit strategy? As a smart and successful business owner, you should develop an exit strategy. This plan could be to take your company public, sell it to the highest bidder, or simply to retire and pass the mantle of authority (the day-to-day responsibilities of operating the company) to family members. As a part of your planning, you should have a collective vision, goals, and objectives for your business, along with setting your personal retirement goals and calculating your cash flow needs and living expenses.
Research shows that only about 50% of all business owners think that members of the next generation can operate the business successfully on their own. This uncertainty about whether the kids have the wherewithal to run a company is a worrisome issue for family business owners. Because of these numbers, many business owners turn to the business succession attorneys at our law firm to help them identify goals for the next generation of management.
Similar to other aspects of estate planning, there really is no “one plan fits all” in developing a succession plan for your business. Each plan is unique and tailored to specific factors and variables of that business. However, our business succession attorneys recommend focusing on several key issues in succession planning to provide practical direction and advice to family business owners. Our skilled practitioners will give you the peace of mind knowing that your life’s work is in good hands.
The business succession attorneys at our law firm will help you address the key issues with professional planning and experience. Here’s a list of some of the important details to consider:
Our seasoned attorneys have the knowledge and skills to help you structure a succession plan where both the goals of the family and the business are working in concert towards the same objectives.