Are you a family business owner grappling with the challenges of generational transition? You’re not alone. The next generation has a different vision for their future, and the family business may not be part of their plan. So, what steps should you take? In this piece, Jacoline Loewen shares some tips on how many successful families are managing their transfer of wealth.
Highlights from the articles include:
- Shift in Succession Tradition: The age-old custom of automatically passing down family businesses to the next generation is undergoing a transformation. The younger generation is increasingly opting for a strategic exit plan for the family business.
- Education-Driven Succession: The younger generation is actively pursuing education and (their own) purposeful work, challenging the traditional notion of automatically inheriting the family business.
- Identity Separation Dilemma: Many family business owners grapple with life beyond their company. Separating personal identity from the business poses a common challenge, impeding the sale despite its potential benefits. Reframing the question from what will I do now? to who will I be? offers a path to a meaningful legacy for the family.
- Complexity in Wealth Management: The transition from family business ownership to family wealth management introduces new challenges, particularly concerning the sudden surge of wealth post-business sale. Seeking the guidance of financial experts during this transition is crucial. Utilizing experts reflects strength and wisdom, not weakness, in navigating the complexities of managing your wealth.
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