“Failing to plan is planning to fail.” While we’re sure you’ve heard this before, now that we’re living in a pandemic, having a succession plan for your business is more important than ever. Whether you become ill, incapacitated, or you are considering retirement, you need to have a comprehensive succession plan that will provide peace of mind for you and your clients.
What Are My Options?
If you want your company to continue as is, then you’ll need to find a suitable successor. Generally, your successor should be someone you trust who knows your company and who will be able to provide consistency during the transition. This can be an existing business partner or a team of trusted employees who are familiar with the business operations and share your philosophy. This might be the most efficient option since these people are all familiar with your customers and understand their needs.
Choosing a family member is another option if you have someone qualified or at least willing to put in the hard work to learn and carry on the business. The final and most challenging approach would be to select an outside purchaser. It’s important that the person you sell your business to shares your customer service philosophy. The sale of your business also involves due diligence, valuation, negotiation of the terms of the deal, and often financing as well. It’s imperative to start early because succession planning often takes five or more years to work through.
The one option you should never consider is doing nothing. Our dedicated legal team at the Law Offices of Steven M. Adler, PLLC is here to assist with all of your succession planning needs, so please do not hesitate to reach out to our firm to discuss your situation.
Call (516) 740-1184 today to request a consultation with our Long Island business law attorneys.