Why Do I Need a Business Succession Plan?

hand giving the baton to another seen from below. Focus on the hand with the baton warm tones accented because it was shooted at sunset.

You have worked hard and built a successful business. And now you hear about something called a business succession plan. You have two questions, what is it, and why do I need a business succession plan?

The short answer is: you are mortal. One day, you will no longer be around to run the business you worked so hard to build. Do you want to just leave it up to chance and hope for the best, or do you want to plan well so that the company stays strong and successful? And if you do not want to work in the business until you fall over, succession planning is essential for you to retire and have money to live on without having to work. Talking with a business succession planning lawyer can assist you in ensuring you have funds to live on once you cease working.

Family owned businesses make up an estimated 80 to 90 percent of all businesses in America. Unfortunately, more than two-thirds of family businesses do not succeed past the first generation, and 90 percent do not make it past the second generation. Succession planning is the best hope for your business, whether it is a family business or not, to continue after you are no longer involved.

The Best Time to Plan is When You Are Healthy and Involved in the Company