Hunter accounting and business services firm, Pitcher Partners, is bringing an Australian expert in business strategy to the Hunter to provide valuable information to local business people in the increasingly important area of succession planning.
Dr Richard Shrapnel PhD is a Melbourne-based executive director of Pitcher Partners and a chief investigator in a recent global research report Succession Reset: Family Business Succession in the 21st Century. He will be the key note speaker at a special business luncheon at the Newcastle Club on November 28.
Hunter-based managing partner Greg Farrow said many local businesses, particularly family businesses, overlook succession planning. He said the research confirms this as a global problem as 84 per cent of people surveyed had not completed succession plans. Succession planning in family businesses has broader importance for the economy because families make up 67 per cent of businesses worldwide and generate 70 to 90 per cent of annual global GDP.
Greg said that succession planning is something businesses need to work on from the start of their business, not just when they are thinking of selling or retiring.
He said Dr Shrapnel will take people through the key findings of his research to highlight that that the traditional definition of business succession is no longer relevant.
“The research shows there is greater complexity and uncertainty for baby boomer business owners and the dramatic change in the role of sons and daughters in family businesses,” Greg said.
“Businesses need to focus on financial capacity to support a growing family, and the generational transfer of skills that create wealth and passion for business.”
“Business succession is not about retirement or getting the best price for your business, it’s about changing to meet the current environment, passing on a viable business, keeping people in jobs and, for families, harmony and a fair share of the assets.”
Dr Shrapnel will also take business people through eight principles of succession.
- Succession is not retirement
- Start with readiness ‚Äì preparation is a must
- Set your goals before the journey
- Harmony is a must
- Price is not first
- Plan early, start earlier
- Equality is not equal
- Ask before you get lost ‚Äì advisers are important.
The research was conducted in association with Swinburne University as part of a four year project canvassing 2,650 people across 56 countries and in nine languages. View the video here.
- Friday, 28 November 2014
- 12.15pm for 12.30 – 2.30pm
- Newcastle Club, 40 Newcomen Street, Newcastle (please note, dress rules apply)
- $60 per head and includes a 2-course meal and refreshments.
- Bookings essential
Image | Hunter managing partner Greg Farrow