Fall 2014 issue of Horizons

MANUFACTURING & DISTRIBUTION

Transitioning Your Business and Knowledge by Jim Mather, CPA

S uccession planning often is thought of as the transfer of financial ownership to the next generation. A closely held family business can take years to plan and execute a change in the financial ownership of the business to family members or other key members of the management team. With a coordinated effort by the owners, the company’s attorney, and wealth management/tax planning team, this process can often help preserve the estate of the existing ownership and facilitate a tax- efficient transfer to the successors.

organization. Succession also encompasses the transfer of responsibility and knowledge to the next generation of management or ownership of the key business processes and responsibilities.

Think of the last time one of your key management team members was on

Plan For Knowledge Transfer and Sharing The other part of succession planning that seems to be overlooked too often is a succession plan for the key players within the

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