Do I need a business succession planning assessment?

Having helped hundreds of businesses develop and implement comprehensive business succession plans over the years, we believe that most business owners should start the business succession planning process with a comprehensive assessment.

The assessment should be comprehensive, and it should cover both owner and business related goals and objectives in our view.

What owner related goals are typically covered as part of a business succession planning assessment project.

Common goals and objectives for small business owners can include the following:

  • Identifying business succession planning goals and objectives, motives, and project timeline.  When and how do shareholders want to transition from the business?
  • Conducting an estate planning, trust, and income tax review for shareholders.
  • Strategizing on estate, wealth transfer, charitable, and tax planning opportunities available to shareholders, especially during the pre-transition/pre-sale window.

What business related goals are typically covered as part of a business succession planning assessment project.

Common goals and objectives for the business can include the following:

  • Analyzing the business.  How well positioned is the company for a buyout or sale?  How strong is the management bench, and what incentives are in place to retain key employees and managers during a change of ownership?
  • Determining business value and identify transition options that best meet shareholder goals and objectives (i.e., a management or internal buyout, tax-deferred sale to an ESOP, or sale to a financial or strategic buyer).
  • Reviewing deal structure, entity level tax, and any funding or financing needs for the transition.

What is the typical timeline to deliver your findings and recommendations?

The typical timeline to deliver a business succession planning assessment is usually 30, 60, 90, or 180-days, depending on the time-sensitivity of the project.

What is your fee for a business succession planning assessment?

Unlike a lot of law firms, we do not believe in charging hourly fees for business succession planning engagements, and, thus, do not charge by the hour (unless requested to do so by the client).  The flat fee for a business succession planning assessment usually ranges between $5,000-15,000, depending on the size of the business, number of transition paths being evaluated, dynamics within the ownership group, and the complexity of the engagement.

Do you offer a money back guarantee for your business succession planning assessment?

Yes.  In fact, we are so confident in our ability to be a value add as part of your business succession planning advisory team that all of our business succession planning assessment projects come with a money back guarantee.  Please refer to our Attorney-Client Agreement for more information.

What’s included in the business succession planning assessment?

After several working sessions with you, the ownership group, and/or possibly your management team, we provide a written deliverable, highlighting our specific recommendations for implementation and for immediate next steps, at the conclusion of the assessment project.  Workflow related to implementation can be led by us or we can coordinate with the adviser or advisers of your choosing, should you prefer for us to coordinate implementation through your existing advisory team.

Call us today at (949) 482-1850 or via the link here to discuss your business succession planning needs.