Succession Planning: Selling Not Sole Response To Succession Planning
August 20th, 2010
Accountancy firm Staples Rodway says more than 50% of small and medium-sized businesses in NZ are expected to be sold over the next five years, but owners need not panic about selling on a cluttered market. The firm says baby boomers eyeing up retirement often have selling at the top of their mind, despite the fact it may not be the right answer for them and there are many other business evolution solutions to consider. To help make the succession planning task easier, Staples Rodway has produced a new Business Evolution Guide to step people through the process. It aims to build, retain and pass on wealth from generation to generation, leaving a lasting legacy.
Staples Rodway says while some businesses will be sold, others may be transferred to the next generation or be subject to a management buy-out. Some may even find bringing professional managers in to handle the day-to-day running will work best for them. But succession planning can be a lengthy process, usually taking about three years for a plan to come to fruition. ANZ figures show of those businesses with an annual turnover of between $2m and $150m, 34% of owners are also the founders of the business, 61% of owners are over 50 years old, and 23% are over 60 years old. More, see <www.staplesrodway.com>
Copyright © The Main Report Group
