Home Advertise Contact Blog Advertiser Login RSS
Newsletter Signup

Business Opportunities to Own
Home-Based Businesses
Choosing a Business Opportunity Growth and Profit Marketing and Sales
Plans and Goals Running Your Own Business Start-Up
Working From Home Entrepreneur Exchange Feature Articles
Opportunity Community Opportunity Focus In The News

Everyone will be hearing a lot from the newest addition to our staff: Digital Marketing Manager Hired Margaret Mallonée! This hire was a strategic move to enhance our staff for the new digital media platform we will be introducing in the weeks and months to come. Chicago,...

Slammed last year by what will surely be one of the most expensive and devastating natural disasters to ever hit the Northeast, millions of individuals, many of whom are work-at-home or other small business owners, are only now years later truly beginning to recover from the damage that Hurricane...

Marketing pumps leads and buyers into your business. There are multiple types of marketing methods, from paid advertising to social media. One of the most efficient is called drip marketing.

Here is a quick guide to drip marketing, an effective way to nurture leads using the power of automation. What...


Imagine making up to $500 to $1,800 a day! Call or click now see how you can get your business for FREE! (602) 679-0257
Promotional Products Home Business
Run Your Own Business. Be Your Own Boss. Earn Great Profit Potential. Start At A Low Cost. Try It For Free! Learn More.
Hurricane Recovery Resources for Business Opportunity Owners
in the wake of a crisis of this magnitude can be especially maddening, DisasterAssistance.gov is good place to start...
How Many Leads Does It Take To Close A Sale?
This article is now live on our blog and I know could be very insightful for many. Read On
Residual Income Business Opportunities
Residual Income is the way that you work once and get paid multiple times—sounds great!... Read On
Productivity Hacks — Our Top 50
Productivity Hacks will help you make more from less this 2016. Here at BusinessOpportunity.com we want to... Read On
Top 7 Reasons to Consider a CMS
The internet loves obscure abbreviations. You can skip over most of them, but not CMS. What is CMS? read on...
The Ideal Length of Everything Online, Including Social Media Posts
When one of your busiest marketing channels limits you to 140 characters, you know that the internet sets its own rules.
It Takes a Hot Voicemail to Land a Warm Lead
If you're a successful entrepreneur who provides others like you the chance to follow in your footsteps... Read On
Low Cost Business Opportunities to Own
Are your right for a Low Cost Business Opportunities to Own? The desire to own your own business... Read On
Sales Hack To Increase Your ROI and Productivity
Sales Hack to make you more money! Sales Hacks are not new, but how you use them is. We receive lots of emails.. Read On
The Top 10 Reasons to Buy a Business Opportunity or Franchise
Starting your own small business is part of the American Dream, right up there with owning your own home. Read On
7 Keys to Leading Highly Effective Sales Conversations
Most people's sales conversations could be better. Not a little better, significantly better. Read On
Resource Center > Article
Common Succession Planning Mistakes in Family Businesses
25 Apr 17 Posted by: Dr. Federer
in Plans & Goals
Share this Article:

Common Succession Planning - Legacy planning, as owners of family businesses know, is essential for the continued success of the business.

However, that doesn’t always mean that owners take the right steps to ensure a seamless transition of power within the organization - Common Succession Planning. As a family business advisor, a common occurrence I witness is that parents invite their adult children to join the family business with the intention of them taking the reins, however, when it’s time to pass the control over the adult children, the parents aren’t able to do it.

Why Won’t They Give Up Control? - Common Succession Planning

Also, many parents aren’t able to draw a distinction between family and business modes, so they find it difficult to trust their “babies” to be effective leaders, even though they believe them to be responsible adults.

  • Aren’t ready to let go and give up control

  • Don’t know what they will do after leaving the business

  • Feel their children have a different vision for the company and they aren’t comfortable with it

  • Did not set reasonable expectations and aren’t honest about their concerns and fears

A Case Study - Common Succession Planning

In the following example, we see this inability of a parent to differentiate between family and business modes and how this impacts the succession plan.

A business owner asked his daughter and her husband to join the family business. However, once the daughter and son-in-law joined the business, the Father didn’t trust them and ended up micromanaging the son-in-law and usurping his authority. The owner wasn’t able to respect boundaries and couldn’t get past seeing his daughter as his “little girl. This combined with the fact that he didn’t see the significance of trying to treat his son-in-law like his own son had an unhappy ending as the daughter and her husband ultimately left the business.

Avoid Succession Issues: Plan & Let Go - Common Succession Planning

One the main ways to avoid these issues is to put a succession plan in place that opens the lines of communication and guarantees everyone involved in the plan is on the same page. Expectations must be clearly stated and parents and children should continue discussions of the future, hold each other accountable, and regularly participate in honest communication.

For a succession plan to be effective, owners must accept their role and begin the process of letting go and handing over more and more responsibility to their kids. They must also be able to listen and accept constructive feedback from their children, rather than becoming defensive.
Legacy Planning Steps

When it comes to legacy planning, there are several major steps that need to be taken, including:

  • Strive to open lines of communication and move toward conflict resolution

  • Build a governance structure and hierarchy that outlines duties and responsibilities

  • Guide decision-making by drafting a family mission statement

  • Establish an informal advisory board to help with guiding the business

  • Host family meetings and family management meetings on a monthly basis to address any issues or concerns

Conclusion - Common Succession Planning

Not putting a succession plan in place is inviting disaster, not only when there are struggles between parents and children, but between siblings and other family members as well. When values aren’t aligned, it leaves the business open to distrust, poor communication about critical issues, and the inability to address critical decisions. In the worst cases, this failure to plan can lead to litigation. The legal issues and fights that occur when a family business succession plan has not been drafted can tear families apart, which is absolutely not what a parent-owner had envisioned for his or her legacy.

About Dr. Denise Federer:

Clinical psychologist and executive coach Dr. Denise P. Federer is the founder and principal of Federer Performance Management Group, LLC, a family business consulting firm. She brings more than 20 years experience as a clinician, researcher, speaker, author and consultant to her work as a performance coach.

Common Succession Planning

Related Blog Posts
22 Nov 16 Posted by: Kevin James Culp
in Plans & Goals

Free Lead Generation is a hot topic these days since many pay a pretty penny per portal to generate leads to increase ROI.

Free Lead Generation is part of any markets platform.  It is important to note that this November was 'nutty' for lack of a better word.  The purpose of this blog post...
12 Feb 15 Posted by: Kevin James Culp
in Plans & Goals
21 Nov 13 Posted by: Kathleen C Lanza
in Plans & Goals
Win! Win big! It’s a mantra that strikes at the core of what comprises most if not all “entrepreneur DNA,” and it’s especially top of mind in the run up to this year’s Super Bowl on February 2 in MetLife Stadium as four small businesses are battling it out in the make-or-break competition of a lifetime! In...
14 Nov 13 Posted by: Kathleen C Lanza
in Plans & Goals
With the 2014 tax return season coming to a rapid close and if you’re a small business owner in particular, finding ways to reduce your income tax rates is always a great goal. While it might sound counterintuitive, one of the best things you can do, as the old saying goes, is “spend money to save money.” Why?...
24 Oct 13 Posted by: Kathleen C Lanza
in Plans & Goals
Results from the newly released Deluxe Annual Holiday Shopping Survey™ show that 35 percent of consumers plan to shop local and small this year, compared to just 27 percent last year. And hey, a full third of the more than $600 billion that is estimated to be spent this year is quite a chunk of change! Could...

I had the pleasure of setting down with Edwin Shoffner, CEO with Mattress by Appointment for BusinessOpportunity.com's very first Podcast that will be released on our new Digital Platform very soon.  Here is the transcript from that call for...
Read More

Video Spotlight

Virtual Financial A Home Business in Financial Services You are going to want to see this Video!

Virtual Financial Group

Premium Sponsor