As a local business owner, creating a financially stable future for yourself, your employees, and your clients is a high priority, and one of the best ways you can do that is to develop a succession plan. This type of planning allows owners to identify leaders and key employees in the business and how the business will carry on in your absence.
Creating a succession plan can seem daunting, and between the day-to-day operations, managing employee schedules, and solving immediate issues, it can sometimes take a backseat. However, planning for a future when you are no longer at the helm of all business decisions is important. Whether you plan to exit your business in the next 5 or 25 years, developing a plan will benefit your business for years to come.
One of the main benefits of succession planning is the opportunity to plan ahead, instead of focusing on the immediate future. Some business owners focus their energy on the here and now, feeling stress to grow their business or keep their business financially solvent.
However, succession planning allows you to look ahead and give careful thought to the longevity of the company. This, in turn, will also help you make better decisions for your company here and now, because you will have your end goal in mind.
Peace of Mind
Another benefit is the added security for the company, future owners and customers. With an exit plan, there will be a reassurance that the company will be able to provide the goods and services that customers need and rely on, as well as provide stability for employees and their families. A plan for the successor of the business will provide everyone at the company, including yourself, peace of mind about the future.
Identifying Your Priorities
Creating a transition plan for your company will allow you to clearly identify what your own exit objectives are. Some business owners may believe that they can leave the company at any time, with little to no preparations. Unfortunately, this outlook can create unnecessary stress on you, the employees, and the future owner. Exit planning takes into consideration your own goals as an owner and how you want the company to carry on, so nothing is left to chance.
Blackhawk Bank is Here to Help
Creating a succession plan that incorporates your wants and needs as a business owner is important, and Blackhawk Bank is here to help with BEI Certified Exit Planners on staff. Phil Whitehead, CExP, and Jim Reynolds, CExP, are ready to help you navigate the next steps and want to make sure your business continues to grow and flourish long after you decide to retire or sell.
Contact them today to learn more!
Phil Whitehead, CExP™
Janesville Market President
Jim Reynolds, CExP™
VP Business Banking