Business Succession Planning
Businesses and their owners are unique. The Business and Estate Planning attorneys at Racine Olson can help you plan for the transition of your business to the next generation of small business owners. A strategic and thoughtful business succession plan, carefully executed, will provide your business with the best opportunity for success.
At Racine Olson our attorneys represent many different businesses in varying industries. As a result, we understand the importance of grasping an understanding of the unique characteristics of each business. To gain the required understanding and perspective we meet with our clients, thoroughly review the business’s governing documents and present multiple options to our clients to help them compose a unique business succession plan that satisfies their needs and desires.Custom Business Succession Planning
Most successful business succession plans begin with discussions several years before the planned transition. Whether the business is operated as a sole proprietorship, limited liability company, corporation, limited partnership, or via a combination of multiple entities, business owners need to decide who will begin the next generation of ownership. Often, the successors need to be trained in certain business practices or techniques only known or implemented by the outgoing business owner. As a result, the outgoing owner generally spends between several months and several years training the successors to handle the less visible business matters, including board meetings, vendor relations, and employee relations.Choosing Successors
While many business succession plans involve multiple generations of the same family, some small business owners prefer to transition their business to valued employees who have demonstrated competence and loyalty to the business. We help our clients understand the different dynamics associated with business succession plans. Relationships between an employer and employee must transform when the employer and employee agree to transition the business to the employee. Business owners often find this part of the business succession plan to be fairly difficult as they must release a bit of control to allow their successor to learn the intricacies of business ownership. While understandably difficult, the business owner’s ability to release control while remaining available to answer questions and provide guidance benefits both the business owner and successor.
Business owners who choose family members as successors to the family business also face difficult tasks. Business owners often choose to transition the business to multiple members of the next generation. Planning for this scenario typically requires defining certain roles as well as implementing policies and procedures to ensure each new owner carries his or her share of the workload. Understanding the personalities and family dynamic is crucial to helping the business successfully transition to the next generation.
The Racine Olson Business and Estate Planning attorneys can help prepare and execute a business succession plan for any type of business. Whether you desire to sell your business outright or over time, our attorneys are available to discuss your options and answer your questions at an initial consultation. Call us toll free at 877.232.6101 or 208.232.6101 for a consultation with the Racine Olson team of Business and Estate Planning attorneys in Idaho. You can also email us directly at firstname.lastname@example.org.