PUTTING THE SUCCESS INTO SUCCESSION

摘要

If you're a business owner, it's inevitable that one day you'll want to say goodbye to your business for good, which could involve one of two scenarios: an exit (or sale) through natural succession in the normal lifecycle of a business, or one through forced circumstances. The latter of these two exits can trigger distressing scenarios. But here, we're focusing on a better planned, more considered, exit strategy. One that has a much more satisfactory outcome. It's called succession, and it requires some serious planning. Succession planning is a step-by-step process that cannot be rushed. Richard Cuthbert, senior associate at business advisory Management Response Ltd, and a mentor with Business Mentors New Zealand (BMNZ), says there is much to consider. For example, is the particular market buoyant and sustainable? Are client relationships long-lasting and does the company have a great reputation? If the owner is also 'the business' then a successor or buyer must weigh up the business's value without his or her contribution. Other considerations include any potential management gaps. Can these be filled?