Did you know that only 33% of businesses survive when transferred to a second generation and less than 12% make it to a 3rd generation? So there is a risk of your business failing if you pass it down.

Or if you have a business partner, you probably don’t want to go into business with your partner’s spouse, and the spouse more than likely doesn’t want to go into business with you either. Make it easy on you and your business. Create a buy/sell agreement so you know what is going to happen to your business when you/your business partner are no longer around or unable to run your company.

A business succession plan is an agreed upon, legally binding document that outlines what happens at retirement, death or disability of an owner. Other provisions need to be considered such as type of business, personal bankruptcy, divorce, felony conviction and/or loss of required licenses, who will run the business, ownership transfer, valuation and right of refusal offers.