Succession planning

Deciding what happens to the business when you stop. Most owners leave it far too late.

What it means

Succession planning covers who will run and who will own the business after the current owner, and how the transition happens.

Why it matters

Most owner-managed businesses are worth substantially less without their owner, and the value is realised only if somebody else can run it. That takes years to build, not months.

What it looks like in practice

The options: sell to a trade buyer, sell to management, sell to employee ownership, pass to family, or wind down. Each has different tax, timing and preparation.

What to watch out for

Waiting for a health event or exhaustion to force it. A business sold under time pressure sells badly, and the buyer knows why it is on the market.

Where to get proper advice

A corporate finance adviser and a tax adviser, engaged years before you intend to exit. Your accountant can start the conversation.