While you may have established your business and been key to its success, nobody can run a company forever. When it is time to step down, you want to make sure that the company continues according to your vision.
This is where succession planning comes in. Choosing the right successor is essential for the company’s sustainability. Here are three potential candidates.
Your family members
Trust is essential in business, and there is nobody more trustworthy than family. Your family members may have a personal investment in the company and a unique driver for it to succeed. Nonetheless, the next leader of your company should not be chosen on sentiment alone. If you do opt for a family member, make sure they have the skills and dedication required to act as a leader.
Key team members
Employees are the backbone of any company. Over the years, you may have developed special professional relationships with key employees. Often, this is the management team, but it could be any team member. Choosing a key team member in your succession plan is advantageous because you know they have the skills and aptitude to run the business.
External candidates
You may need to look further afield at external candidates. This could be a buyer who shares your core ethos and vision, or it could be an outside hire who is ready to take on a senior position. As with all candidates, it’s vital to conduct due diligence on external hires.
Planning the future of your company is essential. Seeking legal guidance may help to relieve some of the pressure.