Business owners are most often focused on running the day to day operations of their business. I want owners to take just 10 minutes to consider other aspects of their business that need attention.
Evanston Il (Vocus/PRWEB) March 22, 2011
What would happen to your business if you were no longer able to run it? What would happen to your family? These questions and more are explored in the inaugural broadcast of the web-based audio program “It’s Your Business Radio.” Launched by Evanston, Ill.-based ROI (Resource for Ownership Intelligence) Consulting and available free on its website, the program delivers expert advice – 10 minutes at a time – for privately held and family businesses on critical ownership management topics.
The first program features a lively discussion on succession planning with Richard A. Morris, host of the broadcast and principal of ROI Consulting, and guest Andrew D. Keyt, executive director of Loyola University Chicago Family Business Center. “Business owners are most often focused on running the day to day operations of their business,” Morris says. “I want owners to to take just 10 minutes to consider other aspects of their business that need attention. There is no better place to start then succession planning.”
Morris points to eye-opening statistics from the Greater Washington DC Family Business Alliance: In five years, approximately 40% of US family businesses will be passing the reigns to the next generation, and more than half of the CEOs retiring in that time have not yet chosen their replacement. “But thinking about succession is far more than just determining who will replace the owner,” Morris says.
Research has identified three keys to successful transition, Keyt explains during the program. “One, regular family meetings should be held to communicate about business issues. Two, a board of directors or board of advisors is needed to support and plan for the business future. And three, strategic planning is required to keep the business viable so future generations can take control.”
Morris and Keyt also explore questions owners need to ask themselves in the context of an Emergency Transition Plan. These include, what would happen if the owner did not show up tomorrow? Owners need to think about immediate things like who will open the door, as well as long term challenges such as who will take over the business and continue to execute the business plan.
“Often owners do not think about what will happen to their family, or the dedicated employees and their families if the business does not succeed after they have exited,” Morris notes. “It’s Your Business Radio was developed to educate owners on business issues like this in a fun talk radio format.” Listen to the complete interview at http://richroi.com/resourcecenter/ItsYourBusinessRadio.html.
Richard Morris co-authored the book “Kids, Wealth and Consequences: Ensuring a Responsible Financial Future for the Next Generation.(Bloombreg Press)” He is principal of Evanston-based ROI (Resource for Ownership Intelligence) Consulting which helps family owners expand and pass down their business to subsequent generations. He also provides family business education, consulting and strategic planning for cooperatives, franchises and associations, and is an adjunct professor at the Lake Forest Graduate School of Management. Previously, Morris managed marketing and acquisitions for his family's 80-year-old privately held company, Fel-Pro Incorporated, and served on its Board of Directors until the sale of the business in 1998.
# # #