If you reflect on how your company operates, how many times are you called upon to make decisions, talk to customers, develop quotations etc. If the answer is numerous times, it may be time to start considering developing a succession plan for your role.
As a business owner, at some point in the future, you will be considering Strategic Exit Planning from your business. Whether exiting due to retirement, ill health, moving to your next adventure or just to reap the rewards of the successful business you’ve built.
From studies conducted by Value BuilderTM it has been determined that a major driver of business value is the dependency of the business remaining successful without the current owner in place. Businesses that have a strong manager or management team in place that can operate autonomously are almost twice as likely to receive an offer than those heavily reliant upon the owner.
It is worthwhile starting to take steps with delegating tasks to members of your team to determine their strengths and the opportunities for training & development. Have you identified an heir apparent with whom you can start to share your knowledge and rationale behind decisions you make?
If you don’t yet have a member of the team you feel has the required skills, can they be trained or is it time to look at hiring a general manager? Ideally your go to person will be an internal candidate as there are many benefits, they know the business, they know your team members and they know the company culture and values.
The earlier you start the process of developing a successor, the sooner they start to tap into your knowledge, they can take more responsibility, the more time off you can take from the business and the likelihood of receiving offers when you do want to exit are higher.
If you would like to take the 13-minute Value Builder Survey, please click this link.