Succession: Facilitating an ownership transfer from founders to the next generation

Requirement:

Partner B’s founders want to retire, so approach us about selling their business. However, they tell us that:

• they are reluctant to relinquish their legacy to a large organisation, which would change the brand, lay off staff, and run it as a regional branch according to their own priorities;
• they wish to preserve what is a great local firm with some strong, young co-directors who have the energy to continue growing the business.

Solution:

We provide our partner with:

• equity funding to buy out the founders (allowing the founders to retain some legacy equity);
• a path to more equity for the other shareholders;
• some welcome capital to make a few small acquisition deals.

However, we do much more.

In the process:

• the younger team gain welcome access to the community of other like-minded firms, enabling them to share ideas and grow their knowledge and expertise.
• both the founders and the succession team value our experience and support as they pursue their growth strategy
• we help them complete and integrate their first few acquisitions.

Ultimately, the founders, and their clients, are very happy to see the business grow and develop with the same culture, client proposition and support staff, led by an invigorated management team.