Does your family business have a succession plan? It all starts with a frank discussion.
There’s an art to conducting business discussions that preserve close family bonds while also addressing challenging business issues.
According to a recent article in Forbes, “the best companies clearly define who is responsible for handling the succession process.” Here are three ways to do that:
- Gather the principals together in a relaxed setting. Set the stage for a relaxed gathering. Be prepared for a lively conversation that may broach a range of topics, from appointing a successor to what official title should grace each place setting.
- Avoid touchy topics unless it’s crucial to the discussion. All multi-generational family businesses have a network of relationships with a past history. Keep the conversation focused on the tasks at hand.
- Aim for a professional demeanor at all times. If two family members or shareholders have firm but differing opinions, it can be difficult to maintain a friendly atmosphere. Remind everyone before you get started that it’s in everyone’s best interest to strive for constructive debate and to use compromise to arrive at some sort of resolution.
