What to do when a business owner is retiring?
Entrepreneurs who founded their companies in the 1990s are now often considering the future of their businesses. With retirement approaching, the question arises of who will take over the reins of their companies. Succession is not always straightforward, which is why many owners are deciding between various options to ensure business continuity.
Passing the business to children – ideal, but not always a simple solution
The most common path is passing the business to children. If the descendants are capable and willing, they can take over the company and continue developing it. Unfortunately, this scenario does not always work out. In some cases, descendants are not prepared for leadership or have unrealistic ambitions, which can lead to problems and, in extreme cases, even to company bankruptcy.
What to do when children have no interest in the business?
It is not uncommon for business owners’ children to have different career plans and no interest in running the company. In such cases, there is no need to pressure them to take over the business. There are other options for ensuring business continuity. One of them is selling the business, closing it down, or hiring a professional manager who will take over day-to-day operations.
External manager as an effective solution
If the business owner does not want to sell or close the company, they can utilize the services of an external interim manager. This specialist takes responsibility for running the company and brings new perspectives and innovative approaches. External managers are not influenced by corporate culture and therefore have the objectivity that allows them to quickly identify problems and propose effective solutions.
How does collaboration with an interim manager work?
Collaboration with an interim manager is typically very intensive and regularly includes reporting on the company’s status to the owner. Interim managers bring not only experience to the business but also modern practices and technological innovations that can help the company stay at the top. Because they are not employees but invoice their services, they are also more cost-effective and flexible than permanent employees.
Where to find an external manager?
The best option is to contact a specialized agency that focuses on interim management. At Big HR, we offer a wide range of experienced managers with years of practice who are ready to help with company management and handle any situation, including preparing the company for sale.
