Preparing your estate when you own a business in New Jersey creates a unique dynamic that requires logic, precision and planning. Finding the right people to take over the responsibilities of managing your company will greatly impact the future of your organization.
Incorporated into a formal plan, you may wish to address the legacy you wish to leave behind. These sentiments can provide direction and reassurance for the newest leaders in your company after your passing.
Finding the right people
Finding, retaining and instructing the next generation of leaders for your company is no small task. In fact, according to Fidelity, the timing of your corporate leadership transfer is paramount to its longevity. Your decision to oversee this transfer during your lifetime enables you to maintain a degree of control throughout the process. You can continue to mentor and guide your company’s new leaders to help them realize your vision.
Business succession planning requires you to be on the lookout for promising leaders within your company. Assign them specific responsibilities to test their capability and provide ample opportunity for career growth. Most importantly, you can find the right people by watching for those business leaders who exemplify the values and characteristics you epitomize.
A work in progress
There is no such thing as finalizing your succession plan. As your company grows, experiences economic difficulties, acquires new entities and shifts strategies, you will need to modify your plan for the future. You may also realize a need for modification if you experience a divorce, split a business partnership or experience other life-altering situations.
Periodically review your succession plan and update it as needed. Look for places where improvements could increase the sustainability of your plan. Make sure that anyone affected by the transfer of your company leadership understands their role in the process so they can assume their new responsibilities with confidence.
