There are many reasons why organizations need to be thinking about succession planning
Most small and medium sized business are not adequately prepared for their business succession: only 10% of owners have a formal, written succession plan; 38% have an informal, unwritten plan; and the remaining 52% do not have any succession plan at all.
So what is succession planning and where do I start? Succession planning is the process whereby an organization or business plans for the eventual transfer of it’s current ownership and assets. This also entails planning for the unexpected, ie. death of or disability of one of the owners.
Here are a few questions a business owner may want to consider in putting together a succession plan: