The Wall Street Journal recently ran an article about CEOs accelerating succession plans and backup management strategies in the wake of COVID-19. It’s a question every owner should be able to answer: What happens if I get too sick to run my business?
No one likes to think about all the what-if scenarios in life. Most business owners have no plan for exiting their business at all, much less exiting in the face of conflict or tragedy. Talk to your advisors and have a written plan for your business in the event you become incapacitated.
Although many items can be included, at a minimum, create a plan that includes a current estimate of value, life insurance on behalf of the business, and temporary management appointments.