Doanne & Doanne

What are the benefits of a succession plan?

Video Transcription:

The benefits are hopefully coming up with a strategy that’s going to allow the business to descend down to the next generation in a way that fits the needs of the family. I’ll just give you one example. What we typically don’t want is my daughter who’s highly involved in the business and works long hours ends up a 50/50 partner with her brother who’s not at all involved in the business. Usually neither child is happy. My daughter is not happy because she’s working long hours and half of her efforts inured to the benefit of her brother. The brother is never happy because his sister is taking too big a salary and not maximizing the profits to the extent she could. We want to avoid these forced partnerships.

Share by: