This document summarizes a succession masterclass presented by Craig West in February 2018. It provides biographies of Craig West and other presenters, Michael Vincent and Donald Poole. It then lists accredited advisers across Australia that work with Succession Plus. The document discusses trends in business succession planning and the psychology of succession. It introduces the M3 framework for succession, which considers the business, money, and self. It promotes Succession Plus' 21-step succession planning process and accredited adviser recruitment. The document concludes by listing upcoming adviser masterclass topics.

1. Succession
Masterclass
Presented by Craig West
February 2018

2. Why Succession Planning?
Market research and trends and
The Psychology of Succession

3. Intro

4. Craig West
CEO & Founder
B. Bus (Mgmt.), M. Bus (Acct/Fin),
M. Tax Law, CPA
Craig’s practice Succession Plus is the largest Business
Succession and Exit Planning firm in Australia and provides
mentoring, advice and strategy for clients looking to prepare their
business for a successful exit.
In March 2014, Craig was appointed Executive Chairman of the
SME Association of Australia, an organisation focused on
improving the success of SMEs in Australia.
In October 2014, he was awarded the Exit Planner of the Year at
the Exit Planning Institute Annual Conference in Texas, USA as a
result of his innovative development of an exit planning process to
help business owners maximise business value and achieve a
successful exit.
During 2015, Craig commenced a Doctor of Business
Administration on the topic of using Employee Share Ownership
Plans (ESOPs) as a Business Succession and Exit Planning tool.
Craig’s proprietary structure - a Peak Performance Trust - has
won the Australia-wide award for the Employee Share Ownership
Plan of the Year twice in four years.

5. Michael Vincent is a Chartered Accountant and Strategic Business Adviser who has amassed a wealth of
experience as both an External Business Consultant and Senior Executive of Corporate Australia assisting businesses
small and large to maximize business value. As a former Senior Investment Banker with a successful track record of having
advised businesses on buy/sell transactions totaling close to $2 billion (and counting), Michael provides invaluable insight
as a lead adviser and mentor on raising capital, acquiring for growth or realising the equity in your business.
Donald Poole started his career in 1974, starting at a suburban accounting practice. In 1980, he opened a
small office in Mooloolaba on the Sunshine Coast. The business expanded rapidly and in 1983 and 2007, the firm
moved premises to cater for its growth. Don’s personal business, The Poole Group, now has 7 partners, 38 technical
and 10 support staff and handles Taxation, Accounting, Audit, Business Management, SMSF and Investment and
Insurance Advisory Services. Don has assisted countless business owners through a successful exit, with his client
base representing a broad section of industry types and sizes.
Scott Patterson has extensive business and professional experience, including over 20 years as a principal of a
highly successful public accounting and financial planning firm. His passion is working with clients to improve the value of
their businesses, and create a more certain future for them, their stakeholders and their families. Scott utilises strategic
thinking, tailored advice and integrated solutions to enable business owners the freedom of determining the time frame and
method in which they exit from their business, often their most valuable asset. His expertise stretches across all areas of
small to medium enterprises (SME), including agricultural enterprises.B. Bus (Acct),
FCPA, GAICD
B. Bus (Acct),
M. AppFin, CA
B. Bus, CPA,
CTA
Succession Plus Partners

6. Succession Plus Accredited Advisers
NSW
• Sam Walters, Sam Walters Consulting Services, Newcastle
• Maggie Orman, Orman Solicitors, Wagga Wagga
• Michelle Forrester, The Little General & Co, Parramatta
• Peter Foster, Financial Strategic Insights, Caringbah
VIC
• Andy Gowers & Anuj Shangle, Time Advice, Melbourne
TAS
• Michael Denehey & Rob Cameron, Collins SBA, Hobart
ACT
• Emily Shoemark, Snedden Hall & Gallop Lawyers, Canberra
• Murray Rankin, Rankin Securities, Canberra

7. Succession Plus Accredited Advisers
WA
• Llew Eynon & Natasha Lie, LG Accounting Solutions, Perth
• David Porter, Infinity Group, Perth
• Brian Woods, Nexus Wealth Management, Perth
• Paul Mackell, New Alldale, Perth
QLD
• Mike Guyomar, Baton Advisory, Brisbane
• Jaynesh Gounder, Agilis Accountants, Brisbane
• Philip Kelly, Quantum Business Sales & Acquisitions, Gold Coast
NZ
• Peter Miller, Succession Plan, Auckland
SA
• Bevan Roberts, Dale Wood Business Sales & Consultancy, Adelaide

8. Succession Plus’s
Proprietary 21-Step
Business Succession
& Exit Planning Model

9. Investing the time to develop a succession plan is on of
the most important financial decisions a business
owner may ever make.
Most people go into business not only to earn an
income but also to build the value to their equity and to
sell, but many business owners do not develop a
strategic plan for exiting their businesses. Without one,
the value in your business will retire when you do.
Enjoy It spells out a practical 21–step succession
planning process suitable for any business owner, no
matter what their circumstances.
Published Book -
ENJOY IT by Craig West

10. Published Book -
BUILD IT by Craig West
There are a number of key steps that business owners can
take to dramatically improve the financial performance of
their businesses. One of these is having an employee
incentive program that motivates staff to think and act more
like business owners and less like employees.
Build It is designed to give you an overview of the key
issues involved in implementing an Employee Share
Ownership Plan (ESOP), so that when you’re ready to talk
about how an ESOP can benefit your company’s growth
and profitability, you’ll have a good understanding of the
requirements and scope of the process.

11. Market
research
and trends

12. 55% of all business
exits are due to:
• Death
• Disability
• Bankruptcy
• Receivership
• Divorce
• Partnership dispute
• Liquidation
• Or simply closing the
doors

13. The average age of a family business owner in
2016 was 58 years, up from 55 years in 2010.
64%, up from 61% in 2010, would seriously
consider selling business if approached.
(The MGI Australian Family and Private Business Survey 2013)

14. 33% of business owner-managers are relying either
on a sale of their business or continuing family business
ownership as the source of funding retirement
58% of family business owner-managers see
themselves working in the business beyond
65 years of age.
(The MGI Australian Family and Private Business Survey 2013)

15. 55% do NOT have a strategic plan.
48% do NOT have a business plan.
(The MGI Australian Family and Private Business Survey 2013)

16. Baby Boomers
(the 18-year wave)

17. Since 2008, almost half of business owners
over age 50 have delayed their retirements
due to the GFC.

18. According to Chris Snider,
President of the Exit Planning Institute:
80-90% of baby boomers’ wealth is tied up in
their business.

19. If you turn 50 today, your life expectancy is now 32 more
years. (Based on a male turning 50, female would be
35.5 years) - ABS Life Tables, States, Territories and Australia, 2010-2012
34% of retired business owners, up from 31% in 2010,
do not have an adequately funded retirement.
(The MGI Australian Family and Private Business Survey 2013)

20. Well known author Michael Gerber
on Exit Planning:
“Having an exit strategy is the ball game for
any entrepreneur… the idea is simply to
build, grow and sell – whether sell means
list, pass on to family, merge, sell to
employees or trade sale, there has to be a
strategy!”

21. “If you want to have a
successful enterprise, you
clearly define what you’re
trying to accomplish… the
extent to which you begin
with the end in mind often
determines whether or not
you are able to create a
successful enterprise.”
Stephen Covey
(1932-2012)
BEGIN
WITH
THE END
INMIND Stephen R. Covey
The 7 Habits of Highly Effective People

22. The
Psychology
of
Succession

23. Background
Bill Hovey’s Statistics
Out of 100 business owners:
25 know they should do something
about succession
13 have a written plan
7 start on the plan
3 complete the plan
1 is satisfied with the exit

24. Money matters less
than you think…
most Australian baby
boomers are wealthy!

25. Fear (anxiety) outweighs benefits:
• Meaning
• Identity
• Connectedness
• Freedom of choice

26. • Exit
• Retirement
• Boredom
• Death

27. The M3 Framework

28. Alan Taylor and Allie Taylor, Orange Kiwi,
PhD Study on Successful Business Owners Transitions
• Business owners are hard-wired to build and run a business
• A business owner’s life, business and wealth are interwoven
and not easily separated
• Significant transitions expose owners (and their business) to
internal and external threats and challenges
• Exploiting opportunities and successfully exiting requires
substantial change for owners, families and the business
The M3 Framework

29. The M3 Framework

30. The M3 Framework

31. The M3 Framework
My Business
• Systems
• Strategy
• Structure
• Market
• Valuation
• People
• Financial Health
• Culture

32. • Management
• Cash Flow
• Investment
• Legacy
• Capital
• Philanthropy
• Tax
• Valuation
The M3 Framework
My Money

33. • Faith
• Relationships
• Health
• Leadership
• Values
• Personality
• Motivations
• Legacy
The M3 Framework
My Self

34. My Self
My Business My Money
My Business My Money
My Money
My Business My Money
My Business
My Business
My Business
My Business
My Business
My Business
My Business
My Business
My Business
My Business
My Money My Self
My Business My Money
My Business My Money
My Money My Self
My Money My Self
My Money My Self
The M3 Framework
21 Steps vs M3
21 Steps M3

35. The M3 Framework
ERIF/Significance

36. • Fusion vs Separation
• Challenging Dynamic - has to be
overcome to move thru process of exit,
requires rebuilding some owners view of
self, others and the world.
The M3 Framework
Role Identify Fusion

37. The M3 Framework
Multi-year, multi-step PROCESS, not an event.

38. The M3 Framework
Bo Burlingham’s Book:
Finish Big: How Great Entrepreneurs
Exit their Companies on Top
• Exploratory
• Strategic
• Execution
• Transition

39. The M3 Framework
Most critical thing is
first step:
Stage One Report
– INSIGHTS.

40. “If I can understand why, I can bear any how. “
- Nietzche

41. Our Step 1 is Goal Setting.
What might be possible, forward looking,
curiosity and imagination (Bill Hovey).

42. The first and most important step is deciding what outcome
business owners want for their business. It will differ for
everyone in terms of financial and lifestyle goals, but there
are a number of key factors to consider and discuss with
business advisers and financial planners.
Answering the following questions will help in aiming for
preferred actions, while also preparing the business owners
and making the business better to be able to adapt to
alternative routes if needed.
Goal Setting

43. 1) Do you have a valuation/sales price in mind for
your business?
2) Do you have personal/financial goals that your
business sale needs to fund or make time for?
3) When do you want to leave the business?
4) Are you happy to stage your exit over several
years?
5) Do you want a lump sum to retire with, or could
you work with several payments over time?
Goal Setting

44. Goal Setting
6) Do you want to retain any ownership in the
business?
7) Do you want to transition the business to a family
member?
8) Do you have any key members of staff that would
be keen to take on the business?
9) Do you have a potential/interested buyer in mind?
10) Do you have a view of what the business will look
like after you retire? Are you interested in leaving a
legacy?

45. Conclusion

46. Accredited Adviser Recruitment
We are looking to expand our national presence with the
recruitment and training of 40-50 accredited advisers.
Accredited advisers are typically experienced business advisers
(accountants, financial planners and business coaches) with an
established network and client base who are looking to expand
their service offering into Business Succession and Exit
Planning.
Accredited Advisers guide clients through the 21-Step Business
Succession & Exit Planning System with the support of the local
partner. This is an excellent opportunity to build additional
revenue in your practice.

47. Accredited Adviser Recruitment
We are now actively looking to recruit in the following areas throughout Australia. Visit our website
successionplus.com.au or email cwest@successionplus.com to find out more about this offer.
NSW
• Armidale
• Bathurst
• Bowral-Mittagong
• Coffs Harbour
• Dubbo
• Goulburn
• Hills District
• North Shore
• Orange
• Port Macqaurie
• Tamworth
• Wollongong
TAS
• Hobart
• Launceston
NT
• Darwin
SA
• Adelaide
VIC
• Albury
• Ballarat
• Bendigo
• Geelong
• Melbourne
• Mildura
• Mooroopna
• Shepparton
• Wentworth
• Wodonga
• QLD
• Bunbury
• Busselton
• Brisbane
• Bundaberg
• Cairns
• Mackay
• Rockhampton
• South Gold Coast
• Sunshine Coast
• Toowoomba
• Townsville

48. Adviser Masterclass Series
Date Topic
Mar 8, 2018 Business Valuation – Tips and Traps
Apr 12, 2018 Structuring for Succession – Who owns what?
May 10, 2018 Small Business CGT Concessions
Jun 14, 2018 Family Business Succession
Jul 12, 2018 Maximising Value – What are buyers worried about?
Aug 9, 2018 ESOP as a Succession Option
Sep 13, 2018 Strategic Sales – What are buyers attracted to?
Oct 11, 2018 M&A Process – Tips and Traps
Nov 8, 2018 Action Plan – How to help your clients and attract new clients.

49. Questions…

50. p 1300 665 473
e cwest@successionplus.com.au
w successionplus.com.au
Head Office
Level 3, 50 York Street
Sydney NSW 2000
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