Business Transition (Exit) Planning — Avoiding the “Advisor Silo” Trap

Overtime we have come to learn that part of our value proposition to clients is the fact that we think holistically and not through a singular lens. Despite having a diverse client mix ranging from social enterprises to distributors of industrial cleaning products and a host of organizations in between, a common thread is that each of our clients tend to engage their advisors in the silo of the advisor’s specialty. The “why” behind that approach makes complete sense… advisors are specialists, trained to deliver services in their discipline, and the business owner has a particular need to address:

· When you need legal advice on a specific matter you call an attorney specialized in that area of law

· When you need insurance you call the insurance agent

· When you need financial planning you call a financial advisor

· When you need to address tax matters you call a tax specialist

· When you are dealing with leadership challenges you call an Executive Coach

· When you have people or process issues you call a specialist in Industrial/Organizational Psychology, Organizational Development, or Business Psychology

By and large, this approach serves the business owner well until it comes time to address business transition (exit) planning.

This critical part of an organization’s life cycle requires holistic, integrated planning to maximize the wealth and legacy of your business. According to U.S. Trust’s 2014 “Wealth and Worth” report more than 66% of all businesses do not have a transition (aka: “exit” or “succession”) plan leaving the business vulnerable at a critical and inevitable point of transition, forcing heirs to reactively solve the challenge. Historically, this is where Orange Kiwi has entered the process. But, we’re working hard to change that!

We believe that solving this problem doesn’t have to be an overly complicated or time consuming process. Instead, it can be an energizing process that reinvigorates the owner and their business. Owners get to briefly escape the tyranny of the urgent that happens when working “in” their business to join a group of peers and work “on” their business.

The process involves 3 to 4 steps:

1. Owners take an online assessment that can be completed at their convenience

2. Owners engage in a ½-day Plan for Transition workshop with peers that results in a blueprint for transition

3. Owners discuss the blueprint with their advisors to break down specialty silos and construct a holistic action plan for reaching the owner’s transition goals that is considerate of the preferred timing — perhaps 3, 5, 10, or 15+ years away

4. Optional Step: Owners may choose to work with Orange Kiwi to help successfully navigate the complexities of change that may be required to prepare their business for a successful transition

Before you choose to jump back into the tyranny of the urgent, take a free quiz and find out how ready your business is for transition: click here