Succession planning

Succession planning is obviously critical in all phases of a company’s life cycle. Most business owners have employees that are essential to the business, while, at the same time, are seen as close friends, almost family members in some cases. Many business owners have actual family members working in the business.

Many of these employees have an interest in helping to run or actually owning, the business at some point in the future. Or, does it make sense for owners to bring in outside talent to maximize the firm’s longer-term prospects?

DM Buck Advisory can help owners develop longer-term management structure plans. We work to get to know the team members. We also understand that, as outsiders asking carefully structured questions, we usually get less spin in the answers. No surprise that employees are often more candid when their bosses aren’t present!

This process is particularly critical when contemplating an exit plan. This is true whether the owner sells to outsiders (who will pay more for a strong, cohesive team), insiders (a strong team stands a better chance at paying back money owed to the owner), and to family members (nobody wants to see a family transition fail).

Many strong employees think they want to own the business, but few really understand the risks and pressures of being an owner. We help owners discern the best landing spot for top-performing employees.

And, once we get the structure plans in place, we can assist owners in putting compensation plans in place to better reward, incentivize, and retain valuable employees.