FAMILY BUSINESS SUCCESSION
The nature of planning itself can be overwhelming; therefore, it is often avoided or done poorly. The idea of succession planning is even more daunting, given the inherent complexity, resistance to change, and potential for conflict and breakdowns.
In June 2012, Alberta Business Family Institute published these statistics on Alberta Business families:
- 10% have a formal plan
- 38% have an informal plan
- 52% have no plan at all
The odds are against you. Statistics show it’s not the transactional structures that derail a succession plan; it is the soft or transformational issues – the human dimension of family, business and ownership.