August 1996
The Director - Features
Succession Planning for the Growth Oriented Family-Owned Business
In a family-owned business, succession planning is the force that can bind the family through the generations
In a family-owned business, advance planning is often the force that can bind the family through the generations. Succession Planning for the Growth-Oriented Family-Owned Business, written by Joseph Blum, an insurance planner for MassMutual, and the founder of the Northeastern Center for Family Business, offers information and advice on planning for the future.
Passing the torch to the next generation in a family business is often not an easy task. The senior generation must decide who is most competent to run the business, how stakeholders' interest should be taken into account and when the succession should take place. Many business owners have a difficult time giving up control, especially if they are unsure that the business is being placed in good hands. Blum discusses how different succession plans can allow business owners to maintain control while letting go at the same time.
