Succession Management Program

Creating a business that will last beyond your lifetime requires a plan; a detailed and thoughtful plan that looks beyond the founder’s personal endgame strategy. Creating a sustainable business and finding Success in Succession Planning™ means rolling up your sleeves with our team of experts and working on the appropriate structural elements to support the growth and profitability necessary to attract, retain, and reward a multigenerational team of owners. The Succession Management Program (SMP) will help you build a valuable enterprise that doesn’t rely on any one, single professional for its success. The process unfolds in three separate steps outlined below.

Phase 1: Plan Design, Development, and Analytics

Our consulting team works with you to design a customized succession and continuity plan. To properly develop both a short- and long-term plan, we will analyze and offer suggestions to significantly improve key elements of your operations including your organizational, entity, compensation, and profit structures. A formal valuation is also included. Our analysts will model various transition and financing strategies necessary to empower next-generation owners while simultaneously helping the founders realize the value of what they’ve built. We will collaborate with your local CPA and hold separate meetings with founders and successors so they can fully understand the opportunities and obligations of small business ownership. In the end, you will receive the “blueprints” for your business in a written plan summary supported by financial models that extend, in many cases, for a decade or more.


Phase 2: Implementation, Documentation, and Corporate Governance 

Multi-owner/multigenerational businesses in a highly-regulated industry require a deft touch and a legal team that understands how to help all participants succeed. In Phase 2, our legal team translates your succession and continuity plan blueprints into a complete document set, guided by the Phase 1 plan design and analytics team. We also help your team understand and implement appropriate corporate governance measures to ensure that past leadership is maintained while future leadership gains a voice and a hand in the process.


Phase 3: Plan Support and Adjustment

We combine the talents of the plan designers, analysts, and lawyers all under the watchful eye of a dedicated and experienced plan manager to guide and adjust your custom plan(s). In Phase 3, you’ll receive:

  • Membership in the EMS Program which includes up to two Comprehensive Valuation Reports (CVR) annually, benchmarking data, acquisition support, and access to white papers and webinars;
  • Tracking and re-calculation of promissory note(s) previously developed for you by FP Transitions;
  • Annual updates to pro forma spreadsheets built for you by FP Transitions;
  • Continued documentation support from the SMP Phase 2 teams;
  • Periodic outreach to you on plan development and corporate governance;
  • Ongoing review and assessment of compensation, profit, entity, and organizational structures necessary to adequately support the plan;
  • Review and consideration of acceleration options for the plan participants;
  • Consideration of third-party and private financing options to support the plan, and the use of debt in management of equity and cash flow to promote your sustainably growing company.

For advisors interested in growth by acquisition or recruitment, the entire FP Transitions SMP team of consultants provides the technical support to make it work at a very high level. Ongoing support helps to ensure the legacy of the firm continues.