Johnston|thomas Succession Planning

your succession planning might consist of one or more of three options: • transitioning the ownership to someone in your family or organization • selling the business • closing the business option 1: leadership transition transitioning your business to someone in your family or organization involves: • leadership – is someone within your organization capable and ready to take over your business? and if so, when? • valuation – what is the value of the business, especially when a partial interest is being sold? • payments – how will the new leadership pay for your interest? • workout – what role will you play in the transition and for how long? • tracking and benchmarks – keeping the transition on task and on time option 2: sale of business selling your business requires three to five years of intensive planning before the property is ready for sale. some of these issues include: • collecting accounts receivables • selling excess inventory and equipment • evaluating the current pr