If you own a small- to mid-sized dealership, you’ll likely start to think seriously about your legacy and the family name on the dealership as you approach retirement age. Making the right decisions now, and engaging in succession planning early, will open doors for a painless and stress-free exit from your business when the time comes. Succession planning helps you foresee the unexpected and answer crucial questions about how to value your dealership, how to involve your family in the transition, and how your exit strategy impacts you long term.
What becomes of your dealership — in some cases your life’s work — after you leave will be determined in large part by your succession plan. You have many options for who your successors will be; if your goal is to pass ownership within your family, you’ll need to balance financial considerations with other considerations that are often less tangible, but equally important.