26/05/2023
As any business owner knows, having a well-thought-out succession plan is crucial. Making sure your business is prepared and protected for the future requires careful consideration.
When it comes to creating a plan, there are certain key pieces of advice to follow:
Good Advice:
1. Establish clear objectives for the succession plan.
2. Include a sound legal structure for passing ownership and control.
3. Develop an effective communication plan for further developing the succession plan.
4. Ensure the business has a strong leader set to take over when the current owner retires.
Bad Advice:
1. Rely solely on your family members to fulfill key roles in the succession plan without any qualifications.
2. Ignore the need to have professional advisors to plan for the succession of the organization.
3. Forgo creating a formal plan and rely solely on informal discussions.
4. Fail to involve all stakeholders in the planning process.
For more information on succession planning! Grab a copy of Wealth Beyond Generations-Strategies for Intergenerational Wealth Transfer by Kinyua.
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