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Avoid Succession Planning Mistakes

Succession Planning Mistakes

“67% (say) I worry that my business will not be as successful if I’m not there.”

If you believe this as an owner, you just reduced your chances of selling to one in ten and your selling price by 50-90%. The bargaining advantage can be yours with smart deal options.You can better your odds for selling success.

A succession plan that fails is your most costly financial mistake. For the majority, the business is their most valuable asset. Most rely on the sale of the business for retirement income. The odds of failing are high. 75%-85% of businesses never sell. The high costs of succession planning mistakes are strong reasons to plan wisely. We have collected more than 45 succession mistakes. All have multiple steps required to curb potential problems.

WORST SUCCESSION PLANNING MISTAKE – THE UNPREPARED START: Not knowing if you can afford to sell and leave the company.

CBA’S OBSERVATIONS: The succession planning process is a marathon. The first marathon runner died of exhaustion. Preparing a plan prevents similar problems. Getting well prepared will take months of hard work, and sometimes years depending on the complexity of your circumstances. Can You Afford to Sell? You will find 9 reasons many owners cannot afford to sell. Can you name all nine?

One way we help is the list below that explains mistakes that succession planning can prevent. These are a starting place for you. Some might not fit or apply to your specific situation. However, they are points to check. Ask us questions. We are ready to help with detailed succession planning actions for your consideration.

What’s your Succession Planning Best Next-StepSM
Succession planning is not brain surgery. We have refined the how-to-sell process to make it easier for clients.

Succession Planning Mistake #5 of 45. Missing the basics of keeping good business records is the biggest stumbling block to selling success. Most companies do not have ‘good basic records’ to answer tough questions from potential buyers, bankers, and many others. Businesses keep records, because they have to. Few keep records to manage the business better.

The first things buyers ask for are business records to review. When a potential buyer gets poor records, they leave never to call you again. That’s reasonable, right?
Did you know that “the average executive wastes six weeks annually searching for important documents lost in among the clutter.” Wall Street Journal

What’s your Succession Planning Best Next-StepSM

There are nine questions about record keeping you must answer with yes, or you will not sell for a good price.

The nine questions take less than 30 minutes, and you can start your planning in just 10 more minutes. The screening result will give you useful succession information and startup planning worksheets, your Best Next-StepSM.

The Succession Records Check, SRCSM is $199, and we do our consultations conveniently by telephone appointments. Call 513-266-3226 for details and to set your appointment.

Business succession planning is your personal success process.”  

Contact Us to Start Planning