Assessing your options when succession planning
Knowing which succession options exist will enable you to choose one that's best suited to your circumstances.
You could decide to transfer ownership of the business to a family or non-family member. You might sell the business or dispose of it through a management buy-out or management buy-in. Indeed, you might decide the best course of action is to wind up the business altogether by means of voluntary liquidation.
Factors that should guide your decision
Begin by considering whether there is an obvious choice of successor within the business. This could be a family or non-family member who has worked in the organisation for some time, someone who knows the business well and who has the necessary skills to take control.
Identifying the right person to take over the running of your business can be a difficult decision. Much is at stake and you need to be absolutely certain your chosen candidate is capable and willing to take your business forward.
If an internal appointment is not possible, you might have to opt for an external appointment. However, if you need to generate funds for your retirement, a sale might be your only course of action.