6 Ways to Protect Your Business from Founder Dependence

Giving up control can be one of the toughest challenges for business owners—especially when you’ve built the business through your own hard work and sweat equity. But founder dependence can be a risk to your business. It can limit growth and cause problems in the event of the unexpected. 

Unlike large corporations, small businesses and partnerships without solid succession plans often fail when the owner or a senior-level partner retires, becomes incapacitated, or dies.

Fortunately, there are ways to manage this risk and protect your business’s future. A strategic succession plan helps you:

1. Time your exit to maximize value (eliminating the risk of a fire sale)
2. Ensure continuity of service for your clients or customers
3. Provide for an efficient transfer to a successor or buyer of your choosing
4. Provide career-path opportunities to existing associates and/or elevate key employees to owners or partners
5. Coordinate with your personal estate plan to minimize estate taxes
6. Plan for the unexpected

To learn more, contact the office to schedule a time to talk about your needs.

The views stated in this letter are not necessarily the opinion of Cetera Advisors LLC.