A small business is intensely personal. This makes deciding how a business will continue after the current owner or founder leaves difficult.
The success of a business after transition from one owner to another owner requires careful planning and preparation. Financial professionals can help guide small-business owners through succession planning to help ensure a seamless business continuation.
Small-business owners and their families rely heavily on their business to provide financial security both before and after retirement. Finding the right buyer when selling to a 3rd party, or retaining family harmony when transferring ownership to family members, are primary goals that require careful planning.Yet, many small-business owners do not have concrete plans. According to a recent Allianz Life Insurance Company of North America (Allianz Life) study, when asked about facilitating the formal transfer of ownership rights in the business, among current business owners: