How do you effectively demonstrate to your clients the need for succession planning in a way that will actively engage your clients and convince them to start planning?
The answer may be as simple as asking them some key questions that can expose significant impacts to the business if a succession plan is not in place.
-If you were unable to come to work for the next 6 months for whatever reason, who would run the business for you? In what condition would you find the business upon your return?
-Have you ever thought about who you want to take over the business from you? If so, who is that person?
-If you die unexpectedly, can your family continue to run the business?
-Will your estate have enough liquidity to pay taxes, etc. if you die unexpectedly?
If a key employee might take over or is imperative to the continued success after the owner's departure:
-Who are the key employees or "superstars" in your business?
-Have you ever though about transitioning your business to this key person?
-Would this person have the ability to purchase the business from you? Would you even want them to purchase it or would you rather have the business just go to him/her?
-If you are not around, would you want or need this key person to help transition the business successfully to the next intended owner?
-Would you ever consider having the business become employee-owned?
