Succession in Fergie Time
It’s been fascinating to see the reaction to Sir Alex Fergusons decision to retire at the end of the 2012/13 football season. At 71 he’s left it late but it seems like the groundwork has been done in terms of identifying a successor. There are important lessons for business owners here.
Don’t leave it too late and, if you are thinking about passing the business down to members of your family or a younger management team, start to prepare well in advance of retirement date. This is particularly true if you plan to take the opportunity to cash in some of your value through a funded buy-out route. In such a case the business needs to be in good shape, well-structured and with a clear strategy otherwise dreams of a cash windfall will crash on the rocks of a difficult funding market.