To allow for a smooth transition, succession planning needs a strategy and sooner than most people think.

First of all you have to identify what succession planning looks like to you. What is your vision in 2, 3 or 5 years time for you and your business? Do you want more free time but still remain hands on in your business? Do you want to completely let go in 5 years time and try something completely new, with a nice padding of capital in your back pocket?

Whether thinking of moving out or moving people up, you need a plan.

Whether you are in a family business, a small business or part of a larger shareholder group, it’s important to set clear objectives and goals for the future. We tend to get caught up in the focus of constantly increasing profit, building revenue, and improving cashflow but at some stage it’s important to take time out and look a bit further ahead.

If you are after more freedom, what are you happy to let go of? Who can you trust will carry on the baton and ensure the business still thrives? Who in your senior management team has the skills and leadership qualities to take on more responsibility or to help you grow your business? Those people in your team may be the future shareholders in your business and if you want your legacy and integrity to stay in your business, choose wisely.

Thankfully, there are professionals who can assist and support business owners with succession planning. It’s a fantastic tool that allows business owners to gain vital insights and look at different opportunities for growth that they may not have explored. What does the future hold for you and you business? Succession planning is planning for success.