Are You and Your Successor on the Same Page?
Are You and Your Successor on the Same Page?
We’ve all seen something like this play out on TV:
Parent succeeds in life (builds a business, wins notoriety, etc.).
Parent wants the same for Child.
Child doesn’t want Parent’s life.
Tension builds.
Conflict ensues.
Resolution occurs.
Credits roll.
We’re sorry to say this familiar family business trope shows up in family business all the time. Only, there’s no studio audience, and it often ends up with dissolution rather than resolution.
As we tell our clients, the key to avoiding this unhappy ending is communication. The trouble is, the day-to-day pressures of running a business (compounded by the complexities of family relationships) keep these conversations from ever taking place.
The solution is clear enough: have the conversation. But how that conversation should unfold is somewhat murky. Unfortunately, this isn’t television; there’s no script to read.
Outgoing leaders of a family business do well to keep two fundamental objectives in mind:
Learn whether or not a potential successor is, in fact, interested in taking over the company.
During the conversation, affirm the successor to strengthen the relationship, and seek the good of all parties—regardless of whether the desired successor shows signs of not being in alignment.
Have you and your chosen successor discussed their future role in the company? Conversations like these are often tricky. But, in the end, they lead to much-needed clarity for outgoing leaders and successors alike.
That clarity could just make the difference between a family business that successfully thrives into the next generation and one that doesn’t. By the way, if you’re not sure how to have the conversation, get in touch or check out this step-by-step conversation guide.
Succession Strength, Inc keeps businesses in business for generations. Learn more about our Succession and Business Transition services. If you are a family business, take the survey today to assess your family business succession efforts.