For the fifth year in a row, Lent and Ramadan are set to happen concurrently, meaning around half of the world’s population will be engaging in some form of spiritual reflection.
This is a time for fasting and prayer for many, as sacrifices are made in order to better prepare for a life after the one that is currently lived.
You will not be in charge of your business forever, so can these religious traditions teach you the importance of being prepared?
Even if you have only just started your business, it is not too early to think about business succession.
In the same way that people, young and old, take an interest in the afterlife, business owners of any age can make adjustments to allow for a more effective business succession strategy.
Many business succession strategies take years to effectively plan and implement, so it is never too early to get started.
The right business succession strategy is largely dependent on the business you run and how you want to leave things when you go.
For some, family succession may seem like the logical choice, as it is a way of keeping something you have built close to hand.
However, some employees may view this as nepotism if the business is thrust onto someone with little to no understanding of the company and they may not be suited for the role.
To ensure that your relative can manage the business, you should work to get them involved in the operations while your hand is still at the helm.
Ideally, family succession should feel seamless, as your relative will hopefully share your values and can maintain the legacy you have built.
Your employees are also a viable option for business succession if you want to reward them for their efforts.
This is where a Management Buyout (MBO) or an Employee Ownership Trust (EOT) can be effective, as it results in a business owned by those who work to make it great.
Yet the same problem can arise if the employees or managers are not well versed in the intricacies of actually running a business at the top level.
As such, it would be more effective to train them ahead of time and let them see a bit behind the curtain while you are still there, so that they can be ready when the time comes.
None of this is to say that selling to an external party is not also a viable option and can be the right call for many business owners.
Even an external sale will still need months, or possibly years, of preparation to make it successful.
A sale is helped by having your finances in order and a well-trained team ready to keep things going under the new owner.
As you can imagine, there is a lot that goes into planning for business succession.
To have access to the full range of options, you should weigh up your options as early as possible.
This lets you lay the groundwork, enhance the value of your business and provide security for your team.
During this time, when so many people in the world are thinking about their position and what the future might hold, you should be doing the same for your business.
Our team can help you understand the best business succession strategy for you and guide you to effective planning as early as possible.
Having experts on your side can feel like an answered prayer, especially with something as challenging as business succession.
Save yourself the stress of business succession planning by speaking to our team today.
