This presentation discusses a process of assisting family owned and closely-held businesses in developing transition plans and creating the strategy unique to each company to achieve the owners’ goals.

1. ‘Family Business
Matters!’
Strategies for Economic Success
Presented by: Lawrence Kirsch
A Galliard Certified Family Business Advisor
Marketing & Management Consulting
Lawrence Kirsch
760-845-1633
Larry@LawrenceKirsch.com
www.LawrenceKirsch.com

2. Why are Family Businesses
important to our economy?
• 95% of businesses in the US today are family-owned or
closely-held.
• 80% of those businesses have 20 or fewer employees.
• However, these businesses are responsible for
contributing over 45% of our GNP (Gross National
Product)!

3. So, these vital members of our
communities…
• generate more new products;
• create more new jobs;
• and contribute more to your local
communities…
Than their corporate
counterparts!
But, it’s not easy…

4. Business Development Cycle
Hard work
Growth
Comfort
Liquidation
Almost 35% sell
or liquidate –
often failing to
realize their
intended value.
Time
Wonder Blunder Thunder Plunder/Wonder
Adapted from: Beyond Survival – Leon Danco

5. Reality Check:
85% of American Business Owners state:
“I want to pass this business on to the next generation”
Sadly, fewer than half have the opportunity to do so…

6. Ownership Transition
• Many recent studies indicate that as many as 55+% of
business owners will transition out of their current
positions within the next 5 years and most have no
formal plan to do so…
No successors
No financial plan
No solid options for considerations

7. Thus, the impending crisis…

8. What must Family
Businesses Do?
• Develop a well integrated,
comprehensive exit strategy.
• Determine the current and desired
future value of your business.
• Develop a strategic plan that
acknowledges the issues of both the
family and the business.

9. Integrated Planning
Family Needs Business Needs
Strategic Planning

10. And…
• Develop a succession plan – that identifies
the necessary leaders for the future.
• Hire the right fit for the organizational
culture and the strategic potential.
• Create a leadership development
strategy.
• Consider an Advisory Board.

11. Change with Dignity
• A successful, well planned
transition will provide
opportunities for
enrichment and joy and the
chance to change the
course of one’s life with
dignity.

12. What Do Family Business
Advisors do?
• Help family businesses to protect their assets
and secure their ROI.
• Coordinate services – bring integrated solutions
to family businesses.
• Help match the expert who is the best ‘fit’ for
your needs.
• Bring practical, customized solutions that meet
needs rather than push products that provide
returns.

13. Leave a Legacy
• Family and closely-held businesses will endure or die
depending upon how effectively they plan for the future.
With the help of their communities, those who survive will
have managed to re-create the energy and wonder that
fueled the original entrepreneurial spirit.

14. Thank You!
For more information, contact:
Lawrence Kirsch
760-845-1633
Larry@LawrenceKirsch.com
www.LawrenceKirsch.com