How Your Small Business Can Benefit from a Business Succession Plan

The U.S. depends on small businesses as an integral part of keeping the economy strong. Small businesses create jobs. They foster innovation and the entrepreneurial spirit. The fact is, however, that running a small business is not for the faint of heart. It is a difficult endeavor and one that small business owners pour their hearts, souls, time, and money into. If you have built a small business, then you should be proud of yourself for this accomplishment. You should also take steps to protect all you have built by putting a business succession plan in place. As your business succession plan, you will develop a strategy for transitioning your business, its leadership, and its ownership for when that time comes when you leave the business.

How Your Small Business Can Benefit from a Business Succession Plan

With all that you juggle in running a small business, why take the time out of your already crammed schedule for a business succession plan? Well, it offers a variety of robust benefits, including helping to ensure continuity and stability for the business you have built. With a well-thought-out business succession plan, you can help ensure that your small business will continue to operate smoothly even in your absence. You can minimize the disruptions that could occur when you leave the business. Such a plan not only protects the business, but also the livelihoods of your employees, your business’s reputation, and your business’s customer relationships.

Similarly, while you write a plan to protect and promote continuity and stability for your business far into the future, you are also working to preserve your legacy. Think of everything you have poured into seeing your business grow and thrive. This is your legacy and succession planning allows you to preserve it and pass it along so that it continues to thrive under capable hands.

Business succession planning also allows for talent development. After all, identifying and preparing successors to take on key roles in the business is a big part of succession planning. The process encourages the development of leadership skills within your business and creates a funnel for talent to take over when the need arises. Having such leadership development plans in place also works to motivate employees by showing them that there is a clear path to career advancement.

A solid business succession plan will also provide you with a certain level of financial security. This is because you can take it as an opportunity to determine the value of your business and establish a fair compensation package for when you exit. It can also help to minimize estate tax implications which will protect the asset you have developed for your family or chosen beneficiaries.

Estate Planning Attorneys

Have you put a business succession plan in place? There is no time like the present to do so and the dedicated team at Jones, Gregg, Creehan & Gerace can help develop a comprehensive plan that reflects your goals while protecting your best interests and that of your business. Contact us today.