Help with business succession

Help with business succession

In 2014 there were over 6,600 business successions in Austria. Andreas Westermeyer from the Federal Guild explains that around 45,000 small and medium-sized businesses will be due to be handed over by 2023. Anyone who decides to hand over their business or decide to take over a business should do so carefully and well prepared. “It’s no longer my business, but in my time I would have…” is probably a statement that shows that a lot went wrong when the company was handed over. The “old man” no longer has any authority – because he is no longer registered as managing director in the company register and is therefore no longer liable – but he still has power in the company. Meanwhile, the successor has liability and the associated responsibility, but does not have the corresponding power because it is constantly undermined by the “old man”. This inevitably leads to chaos. With the employees, with the partners and with the customers.

Far too often, these or similar mistakes are made, which make business succession difficult and, above all, expensive, and in the worst case even lead to failure. When handing over a company, personal sensitivities also play a role that should not be underestimated, explains Michaela Rockenbauer, who is responsible for marketing at Obereder. In order to avoid these difficulties, it is necessary to prepare the path to the decisive “yes, I want” as best as possible.

BELOW IS A SHORT CHECKLIST:

▶ Take enough time for planning (at least 2-3 years).

▶ Find out what to expect. The start-up service of the Austrian Chamber of Commerce offers a good guide here ( www.gruenderservice.at ).

▶ Together, identify all areas of activity, courses of action, possible obstacles, etc. The method of mind mapping is suitable for this ( www.mindmapping.com ).

▶ Create a schedule together showing when which steps need to be implemented and who is responsible for them.

▶ Define intermediate goals together and link them to any consequences.

▶ Don't be afraid to get professional help to accompany this process (mediation process), because it's money well invested.

SMOOTH TRANSITION

The better the planning, the better the chances of a smooth and low-conflict transition. Then statements like “He doesn’t mess with me at all, and when I’m standing in line I can call him at any time” are a sign of success. Under the motto “Leading your life’s work into the future,” the Obereder company is organizing the “Obereder/Castrol Entrepreneur Day” (see box). Inquiries or registration to Michaela Rockenbauer – events@obereder-gmbh.at.

“Unfortunately, most family businesses only find themselves faced with the task of having to regulate their succession towards the end of their entrepreneurial activity,” explains Obereder managing director Andreas Obereder. Succession planning is one of the most demanding business tasks and decisions. They would require long-term and systematic preparation, said Obereder.

“When handing over a company, personal sensitivities also play a role that should not be underestimated.”MICHAELA ROCKENBAUER, UPPER