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PrintTransition Timing
Transition of the control of a family business can take place over a period of months or even years, depending on the needs and wishes of the family members and the business itself.
As the successor gains confidence and credibility in day to day operations and dealings with outsiders, the founder can back away into an advisory role. If the founder encounters difficulty in "letting go" of the business entirely, the successor must be prepared to be reassuring and supportive and insure some type of ongoing role for the founder so that he or she feels included.
If the successor resists, it may only cause the founder to become more rigid and the successor to become more frustrated. Transitions are stressful times and must be dealt with on an objective basis by the successor at all times.
A transition plan or timetable should be roughed out initially to assure continuity of management, and should be reevaluated periodically to see if goals are being achieved. The transfer of power can be seamless and subtle if good communications and careful planning are practiced by all parties to the transition.
