Structuring your own company succession

For many company owners, the question arises of how to structure their own company succession. It does not matter whether the generation change is possible within the family or within the company or with an external successor. Professional preparation helps to structure one's own company succession and thus increase the probability of success of the generational change. 

Thus, experienced succession advisors often offer comprehensive and structured succession support following a non-binding initial meeting. (Tip: In our free Webinars on business succession you will get an overview of the most important issues to be clarified). In the case of intra-family successions, any generational conflicts are identified through professional moderation of the process and resolved through mediation in over 90% of all cases.

"For many entrepreneurs, it is almost impossible to successfully drive the generational change alongside your day-to-day business," says Ingo Claus, consultant for business succession in Osnabrück, because "this emotionally challenging task must be understood and handled as a strategic project. For example, a whole range of preliminary work is necessary before the company is offered to potentially interested parties. Business succession is usually structured by specialists with transaction experience."

Preparation and structuring business succession

This includes, among other things, the preparation of a company valuation in combination with an attractive and meaningful company exposé. The consultant posts the anonymised company offer in company forums and company exchanges. Finally, he presents it in his networks and databases to many selected interested parties from his network in a very short time. This disproportionate increase in contacts significantly increases the probability of success of a company search and thus reduces the time and costs involved in searching for and identifying target companies.

Only when the interests have been clarified does anonymity take place after consultation with the entrepreneur and the interested party. In the subsequent talks, a comparison is made of the extent to which interested parties and the company fit together. At the same time, questions regarding the purchase price and financing options are discussed.

The necessary process control and goal-oriented conduct of discussions is a further advantage of the support of an experienced practitioner. This is because the important emotional needs of the buyer and seller often come into play. This translation work should not be underestimated in a succession process and is an essential factor for a successful business transfer.

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