« Identifying a gap or niche and taking advantage of it | Main | Cubs, Trump, Dow industrials all beat the odds. December forecast: Pigs fly? »

The granddaddy of all succession plans

- John Mickelson, founder and managing partner Midwest Growth Partners, is IowaBiz's blogger on succession planning. Read more about him here. 

On November 8, U.S. citizens went to the polls and voted for who they believed should be the next President. President Obama, who is ending his second and constitutionally mandated final term, will hand over control of the executive branch of the government to President-Elect Trump on January 20.  

Wanting to escape from a monarchist system, our country’s forefathers’ setup this mandated transition of powers – which is just a big succession plan. This succession plan faces similar issues as you do as a business owner developing and executing a succession plan.

Here are some decisions that President Obama and President-Elect Trump may face, which are synonymous with what a seller and purchaser of a business might also face:

President Obama (Outgoing Business Owner)

·       Legacy – feel responsibility to have work done continued and reputation held in high regard.

·       Relationships – want to ensure loyal supporters are taken care of.

·       Future for family – want to make sure family is financially secure, safe, and well-adjusted to a new environment.

·       Time – figure out what hobbies, causes, and interests will occupy new found time.

President-Elect Trump (Purchaser of Business)

·       Strategy – what did predecessor do that should continue and what should change?

·       People – who should surround as trusted advisors?

·       Systems – need to setup procedures and protocols that fit the newly assembled team

·       Communication – clearly communicating a vision to different constituencies is important in first 100 days

If you are thinking about selling your business as part of a succession plan, a "transition team" just like President Obama and President-Elect Trump are using right now is vital to achieving your unique goals.

Comments

Relevant. Nice work, John. Also, I couldn't agree more on the transition team point.

The comments to this entry are closed.

« Identifying a gap or niche and taking advantage of it | Main | Cubs, Trump, Dow industrials all beat the odds. December forecast: Pigs fly? »

Technorati Bookmark: The granddaddy of all succession plans

This site is intended for informational and conversational purposes, not to provide specific legal, investment, or tax advice.  Articles and opinions posted here are those of the author(s). Links to and from other sites are for informational purposes and are not an endorsement by this site’s sponsor.