Are you an entrepreneur and your prolonged absence from the company, due to death or for any other reason. Would compromise the continuity of operations? Would you like to make sure that despite your deficiency, your business maintains its jobs and the value it generates? Have you recognized a beneficiary who would require to be controlled in the event. Of your nonappearance because they do not appear to be prepared to take over the company?
Freeman Logan offers the implementation of a notarized transition plan, resulting from an innovative approach. And carried out in collaboration with the company’s key employees. The approach is intended to be complementary to the will and the protection mandate through M&A advisory. It differs from a succession plan because it aims to allow short-term continuity. Whereas a succession plan is often a long-term process. Has your company considered a transition plan, just in case…?
❚ MAN-ORCHESTRA
Frequently the only captain on board. The financier holds many of the business secrets and essentially exemplifies philosophy of the company. He masters the key elements, strategies, and values essential to the success of the company. In such a situation, the sudden exit of the one-man band risks dangerously negotiating the extremely survival of the company. Is this the case within your organization?
The notarized transition plan makes it feasible to schedule the outcome of a swift and unintentional exit of the chief. It defines the resources and actions to be taken in the short term to ensure the continuity of operations. First, the transition management plan seeks to retain current jobs and maintain the value of the business. It concentrates on the corporate building and working techniques as executed by the entrepreneur. If the worst were to take place. It would operate as a guide for successors and workers, then dived into doubt.
Interestingly, only 20% of entrepreneurs have identified a successor for their business,. According to research published by Harris/Decima for Bank of San Diego in 2008.
❚ IDENTIFICATION OF RESOURCES
The first step in holding the transition plan is to assist the business person to focus on the people who are best trained. And placed to make sure business stability. The notary will first meet with the business manager. And key employees to determine if internal resources could stabilize the business. The requirement for potential external assistance is also evaluated to complete the transition team. The notary will act as a guide throughout the analysis process in order to group. Structure and validate the strategic information.
A transition administration plan can be placed in area over a period of roughly 3 months. It will then be updated annually and as needed with the help of an M&A advisor. It leads to the drafting of a notarial deed which ensures its conservation. And which can sometimes even be supported by a video in order to give it a stronger moral value. It complements estate planning and the protection mandate. In addition to ensuring a rapid transition and effective supervision for the mandatary or liquidator. Without stripping them of their rights. It is also interesting to note that the implementation of a transition management plan may. Under certain conditions, give rise to financial assistance from Freeman Logan.
SUMMARY OF KNOWLEDGE
The objectives of the emergency plan
Better manage an accidental transition
Secure creditors
Ensure the continuity of operations
Preserve existing jobs
Maintain the value of the company
Interesting side effects
❚ Help the entrepreneur identify potential internal successors
❚ Awaken an advantage among employees in taking over the business
The causes of a temporary or prolonged absence
Road, plane, or other accident
Illness, complication following an operation
Hasty death
