There are plenty of excuses owners use to put off the inevitable process of letting go. The most popular is ‘What would I do if I retired?’ Regardless, at some point in time a responsible decision must be made or it will be made without you.
The typical succession options are:
1. Merge with another business. This will often allow for a continued role in the newly formed business.
2. Sell to the employees or family member(s).
3. Sell the business.
4. Do not do anything with the distinct possibility that the value of the business will be determined by an auction.
Conscientious owners will take the time to consult with their team of professionals (CPA, attorney and CFP) to develop a plan which will allow them to: maximize their alternatives, minimize their tax issues and provide direction for the future success of their business.
Steve Sink, CBI, M&AMI