23 Sep Business Succession Planning Block…Unlock and Begin to Welcome the Future
Where do you want to be? Where do you want your business to be? Today, tomorrow, five to ten years from now…
Do you know how to get there? What is stopping you from getting there?
Many business owners experience mental blocks when the word Succession or Exit Planning is mentioned. Some of these blocks are legitimate feelings, but once you identify and overcome the mental obstacles blocking you from planning your future, when the time comes to walk away, the process will lead you to a seamless transition.
Below are some of the more prominent blocks stopping you from planning, with reminders to begin charting your course towards the future you want for yourself, family, and your business.
Of the unknown. Most business owners don’t want to think of leaving their business and simply really don’t know how to plan for their leave. Many are not sure if they have enough money saved to live financially independent of their business, yet. Some owners unfortunately didn’t find the time to recruit and retain any key employees that can successfully operate the business in their absence and their family members aren’t quite up for the challenge, but it’s never too late to do so. It is interesting to note, some are worried because they do not know what they will do if they don’t have a business to go to every morning. They have no personal plan for their time. Fear paralyzes you, it is never too late to begin planning for succession. Overcome your fear, plan for the future, build business value and save for your dreams.
-Build business value
-Create a personal plan
-Recruit and retain key employees
More often than not, Business Owners ask how to remove emotion from all stages of Business Succession Planning and the actual sale of the business. The simple answer, you don’t. It takes time and planning to get to the point of getting ready to leave. During the stages of planning and sale, embrace your emotions. The end result is an emotional event, but throughout the process stay in-tuned with your emotions and when the time comes to detach from your business, you will be ready to go.
-Identify your feelings
-Embrace your emotions
-Plan, stay positive and excited
The exit planning process, to some, comes with a great deal of information to digest and many feel overwhelmed with planning for the future while running a business. Remember, begin to plan five to ten years out, and always choose one issue which is a priority at the time and then work from that point. Put a strong advisory team in place, emphasizing a team approach, playing one role with many skill sets involved–your banker, CPA, attorney and a business valuation expert. It takes effort, but in the end is worthwhile to ensure a seamless process and transition. Begin by envisioning the end, and you will position yourself to have a much better chance of reaching your desired destination.
-It takes time
-Be aware of your issues
-Put a strong advisory team in place
Ultimately, the key question for every business owner is, what are you trying to do? It’s about preparing the business owner to live without their business and preparing the business to live on without its owner. Business owners have poured everything they have into their business, and have to be mentally ready to begin the next step. Listen to your heart, embrace your heart and the obstacles in your way…..your fear will quickly turn to a successful exit planning process.