Webinar: Transitioning the Family Business vs. Selling the Family Business

Benjamin Franklin said, “[N]othing can be said to be certain, except death and taxes.”

If you own a business, you have and will be paying taxes, and you will die, although I have met several owners who believe they will live forever. So, the question is not if I die, but when, and thus, it means there will be a transition of ownership of the business after the owner’s death.

In this webinar, John Reed and Dan Desmond will, in somewhat of a point-counter point version, look at the critical issues that an owner should analyze when planning the succession path of his or her business, including things such as leadership, management identification and training, financial resources, needs and objectives of the owner post-succession and, of course, the employees. Additional issues to consider will include valuation of the business, fiscal health of the company, long-term financial and retirement planning, the current M&A environment, and, finally, whether the owner is truly ready to “pull the trigger.” There are also a host of separate issues to consider if the business has more than one owner in either situation. Lastly, we will also touch on some “scenario planning” to encourage owners that think “I’m not planning on getting out of the business for 15 years”, to identify critical pieces that are common in either path and having them start developing those critical pieces starting today.

John spends much of his time helping family owned businesses transition between generations, and is a huge advocate of successful family transitions, but, moving a business to the next generation is not the only option, and in some circumstances, it may be the wrong option.

A lawyers favorite answer to most questions is - “it depends”. When evaluating whether a sale to an unrelated party or a succession to the next generation is the right path, what’s the right answer? -- say it with me -- it depends.

John T. Reed, Partner, Barley Snyder: John is the chair of the firm's Business Law
Group and Family Business Law Group. John's primary practice is comprised of two separate but related areas: (i) counseling family owned and closely held businesses; and (ii) buying and selling businesses, and in many cases, acting as a general counselor for the business on an ongoing basis after the transaction is completed.

Daniel T. Desmond, Associate, Barley Snyder: Dan is an associate in the firm’s Business Services, Real Estate and Finance and Creditors Rights Groups. In Dan’s

work with business law, he focuses on all facets of business transactions ranging from entity selection and formation and structuring to mergers, acquisitions, succession planning for closely held businesses and securities work for publicly traded companies.

Barley Snyder is also one of the founding members and a current corporate sponsor of the S. Dale High Family Business Center at Elizabethtown College. John leads the firm's efforts at the Center and is a frequent speaker and a regular resource for the CEO Roundtable and Emerging Leaders Groups at the Center.

Join The Network of Family Businesses for a virtual educational Webinar on Thursday, June 26^th, 2014 at 11:00 AM Eastern Time, with John Reed and Dan Desmond.

For additional information email: steve@netfamilybusiness.com