A recent survey of ultra-high net wealth individuals, highlighted the opinion that a lack of strategic planning for the family was the greatest destroyer of wealth.
Perhaps the hardest decision for any family business owner is when, or if, to sell the family business. Selling a family business is like no other sale. It requires an approach which addresses both the family's issues and the business' issues as one, with the two often closely intertwined. It needs extensive preparation and great judgement, with timing and stakeholder management often critical.
Most owners have strong family and emotional ties to the business - part of their family heritage and their collective identity. They may also wish to achieve specific outcomes for wider stakeholders, including highly valued staff and long-standing customers. The challenge is even greater when family members are actively involved in the company. Some family members may take a purely commercial view, whilst others believe the business should be handed down to their children and grandchildren and be part of their livelihood and collective identity.
The business is often the most valuable family asset, so the sale should not be considered in isolation from the wider interests and future intentions of the family. The use of proceeds and future careers of family members are important considerations in the long-term success of the family.
If you or someone you know is considering the sale of your family business talk to professionals that know the process inside out. Make some time to talk to us at http://www.clarkemcewan.com.au/contact_us/request_an_appointment and see how we can help at http://www.clarkemcewan.com.au/our_services/selling_a_business