How to Transition the Family Business to the Next Generation
Engineering a successful transition of the enterprise to the next generation is a critical challenge for the family business. It can be significantly eased and the outcome improved with the right wisdom and advising.
Non-family-held businesses usually have a defined hierarchy and hiring process to fill open positions. In family enterprises there often are not clear plans to hand power to the next generation. Lack of planning and clarity leads to conflict and divisions, which can delay or derail succession plans. Just fearing conflict can keep stakeholders from making timely decisions.
How We Help
Cultivate Leadership and Alignment
We help to identify the next generation leaders, what skills are needed, and encourage alignment on a vision to support new leaders.
We help to manage conflict and expectations within the family business system, identifying actionable ways for family leadership to support the business succession plan.
We review shareholder agreements and estate planning documents.
We evaluate the company’s financial health.
We structure governance for effective oversight, mentorship and conflict management and develop policies that accommodate the needs of next-gen leadership.
Address Business and Family Priorities in Transitioning to Next-gen Leaders
Continuity helps families plan and implement comprehensive succession strategies that consider all involved, a complex process involving trust, thoughtful planning, and specialized approaches that address sensitive issues and critical factors for the business.
Consider All Stakeholders in Succession Planning
Managing potential conflict through the succession process is at the heart of how Continuity works. Our comprehensive approach is grounded in the belief that family and business issues are inextricably linked. Continuing family relationships are crucial and the needs of all stakeholders must be considered in the planning and implementation phases.
A customized succession plan for your family business ensures sustainability of a strong enterprise and leaves all stakeholders feeling heard and fairly treated.
The Continuity team offers extensive experience and training in business, family systems, and conflict management. We know how to effectively integrate the expertise of estate planners, CPAs, key non-family executives, and family business stakeholders – both in and out of the business – to produce a succession plan that works as well for the company as it does for the family.
Good Governance is Essential to Succession
While management and decision-making hierarchies are more formal in the business than in the family, creating an organizing governance structure with policies and procedures can improve the bond between family leaders during the succession process.
A family council can promote effective and timely decision making among family members while also reinforcing the shared values that are critical for cohesive asset management and healthy, continuing relationships during a transition.
Continuity offers guidance on the design and development of family councils to support purposeful, timely succession planning for your family business.
Since 2003, Continuity Family Business Consulting has helped families around the world build connected, intentional and productive futures. Headquartered in Boston, our advisors offer extensive experience and training in business, family systems, and conflict management.
We know how to effectively integrate the expertise of estate planners, CPAs, key non-family executives, and family business stakeholders – both in and out of the business – to produce plans that work as well for the business as they do for the family.