Approaching retirement or leaving a business is a challenge at the best of times, but stepping away from a family run business is even harder and often one foot gets left in the door!

It is important for succession planning to be considered early on, ideally right at the start of the business; however, this often isn’t the case.

Some questions you are likely to consider include: Who is best placed to take the business on? Will the business be shared / passed on equally between your children? Do you have enough money to retire? Will you keep hold of any shares in the business? How will the ownership be transferred? Is the business structured in the best way? What is your tax position?

Of course, discussing succession planning with your family isn’t an easy conversation to have and nobody wants to think about death. However, it is important that everyone involved in the business understands the process should you not have the luxury of time to plan or hand over before the primary business owner falls sick or passes away.

When family succession isn’t an option you will need to consider winding up or selling the business. This could take many forms and is worth discussing with your accountant and lawyer to explore the best options for you and your family.

To start planning contact Alec Brooks, our Company & Commercial Partner on 01256 844888 or email alec.brooks@lambbrooks.com