If you have a family-owned business, you may wonder whether or not your family wants to be involved in the business if you were to die or become incapacitated and unable to continue to run the company. That's why these discussions are so important.
We are going to be proactive as opposed to waiting for the inevitable to happen. All your hard work and all of your accomplishments would possibly be lost if those critical conversations were not held. So communication is key.
Talk to your family
Sit down with your family members. Are they involved in the business? Are they helping you but it's not their passion to be in the family business? That's when you need to start developing a succession plan and identifying a person to be your successor.
Who will be your successor?
Maybe that person will be someone you will actually sell the business to. You can prepare for that time by having the business evaluated and by negotiating the terms of the sale. You may also want to time that sale. In fact, you may want to sell the business and stay on as a consultant. That way you don't run into the unexpected.
And if there is a family member who wants to continue the business, you need to cultivate that person and all key employees of your business to ensure the continuity of your company.