Business Succession Planning Advice
When a leader of a business retires or passes away, it can cause a huge risk of the business failing. It can also result in conflict between others with an interest in the business, including co-owners, directors and senior personnel, as well as the family of the outgoing owner.
Proper succession planning in advance can allow you to avoid these issues, enabling a smooth transition to new leadership which protects the health of the business and the interests of all of the key people involved.
Our business planning team are highly experienced in advising entrepreneurs and company owners on a wide range of succession issues, covering both the commercial and personal aspects of such matters.
We can make sure all of the likely issues that could arise are properly considered and the right measures are put in place to minimise any risk to the business or to your loved ones’ interests. That way, you can be confident that the future health of your business and key family relationships will be taken care of when the time comes and that all of your hard work will be protected for the next generation.
For clear, practical succession planning advice in Lincolnshire, Nottinghamshire and London, please contact your nearest local Chattertons office in Boston, Grantham, Horncastle, Lincoln, Bourne, London, Newark, Sleaford, Spalding or Stamford.
How we can help you with business succession planning
Deciding who should take over the business is usually the most important issue when it comes to succession planning and it is also often one of the most complicated, especially when it comes to family businesses.
There is often the need to balance family relationships and loved one’s feelings against what is best for the business, so getting expert advice on the various options and ways to mediate these issues can be highly valuable.
Our team can talk you through the various options and assist with the practical details, including creating a legal framework for the future running of your enterprise and assistance with resolving any disputes between family members over who should lead the business going forward. This can include a Shareholders' Agreement, bespoke Articles of Association to suit your business' needs or a Cross-Option Agreement to provide for a guaranteed payment to your dependents.
Business asset protection
When leaving a family business to the next generation, it is important to think about how any future family conflicts could impact the business.
Divorce in particular can be very damaging if the family businesses gets caught up in the division of assets, so business owners would be wise to make sure they plan ahead for any such problems.
Our succession planning team can help you to protect your business assets against these kinds of potential issues, including with options such as pre-nuptial and post-nuptial agreements.
Providing for family members not involved in the business
Your business will often be your most valuable asset, so leaving it to one or more of your children can create issues if you have other dependants who do not want to be (or can’t be) part of the business.
Making sure those dependants are appropriately provided for as part of your succession planning can help to avoid hurt feelings and damage to family relationships, as well as minimising the risk of any inheritance disputes after you are gone.
We can advise you on the various options for providing for family members not involved in the business. This may include looking at how your other assets can be divided to provide a fair balance and whether it may be appropriate for non-participating family members to receive any kind of ongoing benefit from the business. In some circumstances a Family Charter might help by providing clarity to all family members setting a long term goals and strategy for the family business and the family's relationship with it.
Business Lasting Powers of Attorney
If you are the owner, co-owner or director of a business, it is important to consider what would happen if you became incapacitated and were unable to make important decisions about the running of the business.
Making a Lasting Power of Attorney allows you to authorise a trusted person (who can be a professional such as a solicitor) to make business decisions on your behalf if you ever lose the ability to do so yourself.
Our succession planning team can create a Lasting Power of Attorney that matches your needs, making sure the day-to-day running of your business can continue effectively, no matter what the future may bring.
Speak to our succession planning advisers now
Looking for experienced, expert succession planning advice for your business in Lincolnshire, Nottinghamshire or London? You can arrange an appointment with our team by contacting your nearest local Chattertons office in Boston, Grantham, Horncastle, Lincoln, London, Newark, Sleaford, Bourne, Spalding or Stamford.