Succession Planning……..

There is always a lot of talk about ‘succession planning’ and as I write this blog it has again erupted on radio as the biggest problem facing our farming community. What a lot of BS.

Any business plan worth reading has an exit strategy, and that is really what we talk about when succession is raised.

I have been involved with business and farming for over 40 years and in my view it always comes down to ‘communication’ and the family dynamics and culture that have evolved over many years.

The best plans can still come unstuck if the leader does not have the communication skills necessary to start and continue the conversations that have to take place to make this process successful.

There are so many damaged families running very successful businesses that they do not have the skills within the family unit to undertake this vital work.

Again in my view there are 3 important professionals that are needed to get a good exit strategy:

1. a good accountant,

2. a good solicitor, and

3. a good communications consultant who can manage the interpersonal relationships, the family blockages and likely conflicts

There are lots of income tax, CGT, GST, stamp duty and other costs to overcome during this process. But with the right coaching and help you can get through this vital aspect of business planning