Who are the next generation of owners and managers of my business? Family, Key Employees, Professional Management?
Published: April 18, 2011
This is a complicated question. We work with clients who own privately held companies and focus on the issues of family ownership, control, active and inactive siblings, as well as executive management and leadership development. These are sensitive issues for a family. Although we find many family businesses with strong next generation leaders, in some cases the gene pool may not be the deepest talent pool to draw from for successor managers. Just because a business started out as an owner-manager-entrepreneur model doesn’t necessarily mean it will remain there. Your family may need to migrate to an owner-investor or hybrid model. A forum for open, honest communication must be established so that a plan that protects the business, the employees and the family can be designed and implemented. WealthPoint has been successful as facilitators to help families work through some of these very difficult issues.
