Succession planning guide launched

The step-by-step guide has been produced, after the latest available data from KPMG on the topic showed that just 17% of Australian family businesses have a plan for their business’s future. Figures also revealed that 54% had no unifying strategy for how the family would participate or be recognised in the business, 54% had no retirement plan for the current CEO and 43% had no training in place to achieve a successful transition to new ownership.

Commenting on the guide, Kate Carnell, the former ASBFEO said that the ASBFEO’s Small Business Counts report released in December 2020, showed that more than 60 per cent of employing small-business owners are approaching retirement age, highlighting that now is the opportune time for businesses to initiate a succession plan.

“Australia’s most successful family business stories — and there are many — are a result of well-executed succession planning,” Ms Carnell said.

FBA CEO Greg Griffith said: “Our guide provides a great starting point for families in business to consider the what, why and how of transitioning the business to the next generation.

“The key to families working well together is to have really open and honest communication – which can be difficult when your boss, colleague or direct report is also a member of your family.

“Our succession planning guide offers practical tips to ensure an orderly transition process.”

The free guide is available on the ASBFEO and FBA websites.

Last updated: 12th March 2021