Succession Planning Requires Time To Plan

Filed in archive Succession Planning on July 13, 2006

I was reading in the Toronto Star that "Being a Millionaire is no longer a big deal. In Canada there are now 232,000. That's a decent-sized city. Add in spouses and children and you've got the better part of a million Canadians living the life of a millionaire, or as many people as in six of our 10 provinces."

The number of millionaires in Canada grew at a rate of 7.2 per cent, not bad compared to the 6.8 per cent growth in the U.S., where the total number of millionaires is approaching 3 million.

I would guess-timate that the majority of those new millionaires are business owners or business owners who recently sold their businesses. I expect to see a number of new millionaires in Canada and the US as they sell out and retire or inherit estates from their baby boomer parents.

If you own a business and are looking at retirement in the next 10+ years this is a great time to get started on a succession plan. Whither you choose to put your business on the market, sell to your employees or grow your own successor there are many options available as long as you have time - time to plan - on your side.