Succession planning for business owners
Plan for the future of your business
You may not be planning to leave your business any time soon, but thinking about what happens when you eventually step back can give you more options and more time to prepare.
Succession Planning helps you consider what you want from your eventual exit or transition, what needs to happen within the business to make that possible, and how your business plans connect with your personal and financial goals. Working with an ilumin adviser, you’ll explore your succession options, identify the people and issues that need to be considered, establish key milestones and turn your thinking into a practical Succession Plan.
The goal is to give you greater clarity about what you want from your business, what needs to happen to achieve it and how you can start preparing now for what comes next.
Exit planning
Whether you want to sell your business, pass it on or gradually step back, we’ll help you get clear about what you want your eventual exit to look like.
That means considering not only when and how you might leave, but what you want the business to provide for you when you do.
Business continuity
What would happen to your business if you were no longer able to be as involved as you are today?
We’ll help you consider what the business needs to continue operating effectively through a planned transition or unexpected change, and identify areas that may need strengthening.
Ownership transition
Changing ownership can involve existing owners, family members, employees or an external buyer.
We’ll help you explore your options, identify the key people involved and consider the practical, financial and business implications of different approaches.
Preparing the business for sale
If selling is part of your future plan, preparing early can put you in a stronger position when the time comes.
We’ll help you identify the areas of the business that may need attention before a sale and the actions you can take over time to make the business better prepared for transition.
Financial planning for the future
Your succession plan needs to work for you personally, as well as for the business.
We’ll help you consider what you want financially from your eventual exit and how that connects with the lifestyle you want afterwards. This gives you a clearer picture of what the business may need to achieve and the decisions you need to make along the way.
Risk and contingency planning
Succession isn’t only about a planned exit.
We’ll also help you consider what could happen if circumstances changed unexpectedly and identify areas where further planning may be needed to protect the continuity of the business and your wider goals.
Reducing reliance on the owner
A business that depends heavily on its owner can be harder to step away from. Succession Planning can help identify where knowledge, relationships, responsibilities or decision-making are too dependent on you and what needs to change to create a business that can operate more independently.
This may also highlight the need for an Organisational Review to clarify roles and responsibilities within the business.
Who is succession planning for?
Succession Planning is relevant to every business owner at some stage and you don’t need to be ready to leave before you start.
It can be particularly valuable if you:
Are considering selling your business and want time to prepare properly.
Want to pass the business to family, employees or another owner and need a clear transition plan.
Want to step back from the day-to-day without the business continuing to depend on you.
Are thinking about retirement or your next stage and want your business plans to support your personal and financial goals.
Have multiple owners or potential successors and need greater clarity around the future.
Want the business to be prepared for unexpected change, not just a planned exit.
Know succession is something you need to address but aren’t sure where to start.
What you will walk away with
Your Succession Planning session is designed to turn a big, potentially complex question ”what happens to my business when I eventually step away?” into something clearer and more manageable.
You’ll come away with:
Clearer long-term options
A better understanding of the possible paths for you and your business.
Practical transition steps
Actions and milestones to help you start preparing.
A better understanding of business value drivers
A better understanding of the possible paths for you and your business.
Reduced risk
By identifying areas of owner dependence, continuity concerns and other issues that may affect your plans.
A plan for what happens next
Bringing your goals, succession options, key people, milestones and actions together into a practical Succession Plan.
Common succession planning questions
Don’t see your question here? Feel free to get in touch.
When should I start planning my exit?
Ideally, well before you intend to leave. If you’re considering selling, transferring ownership or stepping back within the next three years, now is a good time to start. Even with a longer timeframe, early planning can give you more options.
What if I don’t know who will take over my business?
You don’t need to have a successor identified before you begin. Understanding and evaluating your different succession options is part of the planning process.
Is Succession Planning only for selling a business?
No. Your plan could involve selling, transferring ownership to family or employees, changing the ownership structure or gradually reducing your involvement while the business continues.
How does Succession Planning connect with my personal goals?
Your business may represent a significant part of your financial future, so we start by understanding what you want from it. Your succession strategy can then take into account the financial position and lifestyle you want after you step away.
Start planning for what comes next
You don’t need to have your exit figured out before you start the conversation. We’ll help you understand your options, identify what needs attention and create a practical plan for the future.