Thriving Family Principle: Have a Written Plan
Sarah Bradley | August 21 2020
We recently met with a business owner who had spent the majority of his life building a successful chemicals company. Though he enjoyed his work, the inevitability of age had forced the conversation of succession. He had thought through and explored several options but had not yet established a written plan. As a result, both the employees and the heir apparent were left wondering whether they should hold tight or start circulating their resumes.
Having a written plan is not primarily about peace of mind for the plan writer. While it can minimize stress and uncertainty, forming a written plan is one of the greatest acts of service you might do for your loved ones and employees this year.
Creating a written plan gives you the opportunity to have critical conversations with your loved ones and key members of your business before tragedy strikes. It also allows you to prayerfully consider the wisest path forward rather than reacting to life events as they occur.
Proverbs 16:9 says “In their hearts humans plan their course, but the Lord establishes their steps.” Having a written plan does not mean life will go according to plan. But the process of creating one shifts your focus to preparing the next generation to lead. This sets up your company, employees, and family for success and increases the likelihood that your business will withstand the strain of transition. In the end, everyone wins!
At Archetype, we have a set of twelve principles designed to help families thrive across generations. Check out more blogs from our "Thriving Family Principles" series.
Ready to dig deeper? Get started today, by better understanding your risk tolerance level and how that fits with the investments you currently hold.
Disclaimer: Our intent in providing this material is purely for informational purposes, as of the date hereof, and may be subject to change without notice. This article does not intend to constitute accounting, legal, tax, or other professional advice. Visitors and readers should not act upon the content or information found here without first seeking appropriate advice from a trusted accountant, financial planner, lawyer or other professional.