Multi-Generational Business Enterprises

Can my owner preserve me across generations of family? I know it’s a cherished idea to preserve me past his tenure or his lifetime.

While this is often a top priority for the owner, it is proving to be a challenge as the center piece of family wealth. Consequently, the owner is stuck, and no new Transfer/Estate plan has been created.

After a couple of years, the owner called ‘Us to help him.

The fundamental problem is with every year that goes by the risk of loss of leadership rises. This damages business continuity and its value, and family identity. We facilitate getting families and their business on the right track. It is important to minimize the potential of default and crisis management.

We address both the financial and human capital in the underlying business and enterprise before any transfer plans. Here are some key elements.

Define the holding time and why

· Absence of Aligned Views; founder, c-suite, staff, advisers, family

· Absence of Direction or Purpose; no clear explanation of what success looks like.

· Inconsistent Communications: advice is often unclear or conflicts with business or family priorities.

· The Rising Risk of a Sudden Loss of Leadership; absence of an updated succession/transition plan.

The cornerstone of our approach to holding a business asset includes.

· Orchestrating the compatibility of estate and leadership succession plans. This does not happen on its own.

· The next generation is active in the business. If not, new management must be chosen.

· Consensus of all family stakeholders, both active and passive.

· Developing a strategic business plan for a planned and orchestrated transition.

· The default should be a 2-step monetization process, so long as family stakeholders, both active and passive, are holders of minority stock.

· An Enterprise Framework; 4 cornerstones to specific or more complex matters and decisions; dynamic governance, risk management, strategic plans and vision, mission, or values.