Are you ready to think about succession planning?
Posted 16 July 2008 at 9:46AM by Hannah Gilchrist in Doing business online
One day, your business will have to do without you - and if it did, how do you think it would cope? Are there essential facts and figures locked up inside your head and nowhere else? Is the loyalty that your employees have such that they would want to move on if you were no longer around?
If you're planning to sell your business or pass it on to someone else, these are issues that you need to consider. And the earlier that you start to plan for succession, the better.
Even if you're not intending to move on from your business for many years, starting to take into account the need for succession is a wise move. According to a 2005 survey by the Association of Chartered Certified Accountants, 30%of small-business closures take place because of the lack of an effective succession plan. Would you want that happen to your business?
The Institute of Directors has produced a simple guide to planning your exit from a business, which you can download here. Even if you don't think you're ready to move on yet, it's essential reading.
Tags: bt, bt broadbandoffice
New feature: Rate this post!
Average rating: 3/5
Comments
2. At July 17, 2008 12:44 PM, David Wheeler wrote:
I understand succession planning is important, however do you think companies really see the need to seperate succession planning from talent management, if 30% of small business fail once people have retired
surely they haven't bothered looking at there own people base to see who has the skills and the knowledge to run there business, succession planning by its very nature is an exclusive club unlike talent management which is inclusive may be they should just look to see what is under there own noses, more fool them and they probably don't deserve to stay in business.
3. At July 18, 2008 10:48 AM, Pam wrote:
2005 was a long time ago... I wonder how much that statistic has changed
Post a comment
As 14 days have passed, comments are now closed for this entry.
1. At July 17, 2008 10:49 AM, J G Dawson wrote: