Business succession planning is the process of identifying and developing new leaders who can replace old leaders when they retire, suddenly become incapacitated or die. Without a succession plan, a business is left scrambling to find a replacement and recover lost assets during the delay. Moreover, employees and clients may leave the company for fear of instability.
Succession planning is important for both family-owned business and large corporations. Having worked hard to build a successful business, owners want to avoid a tumultuous transition and ensure that their business will keep viable.
Typically, succession planning involves either “retention” or “buy-sell retention.” Retention planning involves keeping the business or shares with the family, who will retain control of the assets. Buy-sell retention planning offers the other shareholders or vital employees a larger stake in the company. Interested parties in the plan may be granted the right of first refusal and a predetermined valuation mechanism will control the price of the shares. Our firm can help owners and shareholders plan for the future and a smooth transition.
Contact Our Boca Raton & West Palm Beach Business Succession Attorneys
We strive to provide you with a customized plan to fit your individual needs. Please contact our Boca Raton & West Palm Beach attorneys today. We offer a free 45 minute consultation for new clients.