What to Do when a Business Owner Wants to Retire?

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.

Do you need help with your team? We are here for you. Whether it's short-term coverage or solving complex situations, Big Interim is your partner for interim management.

Contact

Successful projects

Tým vede prezentaci integrace po akvizici firmy
  • Analysis
Over the past few weeks I've been watching a series of acquisitions in Czech business. Smaller, honestly built companies are merging with bigger players, founders stay on board as co-owners, and both sides talk about shared values and joint growth. On paper it looks like a textbook example of healthy consolidation, but post-acquisition integration is what decides whether the investment pays off. In practice, that's exactly the moment that decides whether an acquisition will be a case study of successful growth five years from now, or a quiet example of wasted potential.
Zamyšlený majitel firmy přemýšlí o nástupnictví
  • Analysis
Over the past several years I've seen one pattern in practice that keeps repeating more and more often: the owner of a company he built in the early nineties suddenly realizes he has no one to hand it to. This isn't an isolated individual story — it's a demographic wave that's only just starting to roll through the Czech economy, and so far almost no one is really talking about it. And the longer we stay quiet about it, the more it will eventually cost us.
Manažer analyzuje dokumenty při rozhodování v krizi
  • Analysis
Over the past few weeks I've been watching one pattern repeat itself in business. Traditional manufacturing companies that ran on the same model for decades are suddenly facing a sharp drop in demand, expensive inputs, and tougher competition. Some weather it thanks to quality, a strong brand, and loyal customers. Others end up in insolvency, or after a hundred years in business decide to close voluntarily. When I look at how this happens, I keep seeing the same mistake — help arrives too late.