Securing values and continuing the company's history with a conflict-free generational transition

There is no clear recommendation for this. After all, for a generational change in family businesses, the right moment must be present on both sides ? for the transferor and the transferee.

What we can recommend from our experience, however, is that when the next generation is ready and the training steps have been completed, the generational change in the family business should also be seriously and concretely agreed upon.

Within the framework of a transition phase, both sides, the transferor and the transferee, can then implement the business succession project.

First of all, we recommend clarifying the inner attitude to this question. And for this, we believe as experts, freedom in this so important life decision takes precedence over the obligation of having to take on the succession for the family business.

Talk to your children or close relatives calmly about the options and perspectives of taking over a business through a generational change. This is not something you can just do on the spur of the moment. It requires time and a suitable framework.

If necessary, have a neutral expert accompany you in such a highly emotional discussion situation. ?
And give your potential successor or successors enough time to consider this offer.

There is a wealth of content that is important for such a clarification on a generational change in family businesses.

Take advantage of our offer of a free webinar on this special topic at https://webinaris.co/customer/showtime/8235_die_5_groessten_fehler_beim_generationswechsel_in_familienunternehmen/13052/8235.html?mode=N

Book your place now!

This question is about the future of the company. Not about a subjective similarity of possible similarities between the transferee and the transferor.

Ideally, check together for the generational change in your company which leadership qualities and focal points are important for the future of the company after the succession.

Or which qualities and positions may need to be filled differently so that the natural strengths and competencies of your successor can unfold their full effect.

For this purpose, KERN has developed an individual entrepreneur check with scientists and recognised potential analyses. In this way, people who want to take on a management succession in a company can check their potential online and uncover resources or develop characteristics in a targeted manner.

At www.mein-unternehmerprofil.com you can get started straight away.

This important question probably has the highest priority for every transferor. A new chapter in life is beginning and this needs to be discovered and prepared.

We cannot clarify this for you optimally in the brevity of a few sentences.

What we can do for you, however, with our experience in this field, is to recommend a very special seminar to you: https://www.kern-unternehmensnachfolge.com/seminar-stabwechsel-unternehmensverkauf/

In this seminar you will work concretely on this question.

Or you can read the relevant book and Amazon bestseller by KERN founder Nils Koerber on 'The Art of Letting Go':

https://www.kern-unternehmensnachfolge.com/buch-kunst-des-loslassens/

Also available as an audio book, of course.

Probably predominantly a positive effect. Your customers, your suppliers or simply the public in the microcosm of your business environment tend to perceive the safeguarding of a company and its jobs as a good development and message.

In this way, structures, services and ties that have grown up are preserved and can continue to be used in the future.

Our expert tip: Use the generational change in your family business as a good public message and connect the regional media at all levels with this event.

All employees in the company should first learn when there is clarity in the family about the planned generational change. This creates reliability and transparency for the periods of the handover phase.

And as soon as clear responsibilities change sides between the transferor and the transferee in the generation change, we believe it is also a good time for external communication.

There are currently two relevant valuation methods for family businesses:

The capitalised earnings value method (IDWS1) and the AWH method (particularly suitable for craft enterprises).

With these recognised methods, the value of a company can be calculated and at the same time also serves as a basis for possible assessments by the tax authorities.

Expanded, such a valuation also makes sense, because with it, within a family and several heirs of a transferor of a business, transparency comes the different values in the assets of a family.

We at KERN carry out such valuations for family businesses almost daily. For a quick value assessment and initial, rough valuation, the multiplier method is also helpful. In this procedure, market-relevant values from other company sales are used and multiplied by the results of a company.

At https://www.kern-unternehmensnachfolge.com/kalkulator/ you can carry out an initial value assessment online free of charge within 5 minutes. Use our company value calculator to your advantage.

The complexity of legal forms of a company, the tax constellations of company and persons makes an answer impossible at this point.

Expert advice is always necessary here. Especially with regard to inheritance tax and legal peculiarities, which should not be underestimated.

Since changes in the political framework of the legislation can occur on an ongoing basis, you should seek out an experienced advisor for this and seek advice tailored to your business and family situation.

That depends entirely on the chosen construct of a company transfer. Will it be given away, inherited or sold?

Depending on the type of transfer, the transferor can and will ensure that he is no longer personally liable. The transferees of a company then often also assume complete liability in all financial matters of the company.

However, this varies greatly from case to case and should be weighed up with the advice of experts in the circle of the transferor and transferee with all the advantages and disadvantages. And this then concerns not only factual framework conditions, such as liability, but also the emotional aspects in the constellation of transferor and transferee in the generational change of a family business.

Look for proven references and extensive experience. Having accompanied a generation change once does not make a consultant an expert.

When there is a generational change in the family business, three systems are touched: The families, the company itself and extended ownership structure.

And it is this complexity of the systems, the legal and fiscal framework and the emotional processes that a serious and experienced consultant should be able to provide as know-how.

So ask specifically for references from other families.

At KERN, we disclose a wealth of our references in very concrete terms. With well over 100 individual testimonials, you can get a good picture for yourself: https://www.kern-unternehmensnachfolge.com/kundenstimmen/

As we are convinced of our expertise, we are happy to recommend the books from our own partner circle at https://www.kern-unternehmensnachfolge.com/buch-kunst-des-loslassens/

As three different systems are involved, the complexity of family, company and ownership structure should not be underestimated.

When it comes to generational change in family businesses, one of the most relevant stumbling blocks is the internal ambiguity of the actors involved on the transferor and transferee sides.

It is the emotional backgrounds and very different functional logics of the systems concerned that cause problems.

And when conflicts arise, which is actually also quite normal, we recommend procedures such as mediation. You can find details here: https://www.kern-unternehmensnachfolge.com/fahrplan-mediation/