Family Business Succession: Is The Next Generation Ready To Lead?

Family businesses face unique and often unanticipated challenges transitioning from one generation to the next. The struggle to maintain and protect both family interests and business interests is intricate and complex, with some businesses falling prey to changing environments and deteriorating opportunity amid generational succession.

These challenges are made all the more difficult when the next generation of the family does not include a strong candidate to lead the business – or when some members of the next generation are natural leaders and others are “along for the ride.”  There are a number of legal and cultural issues that need to be addressed in both the family and business, this article addresses those issues and the strategies to avoid them.