Succession Planning: Family Business Assessment Checklist

Family Business Assessment Checklist

Business issues 

  Yes No
Have written goals for sales and profits been set?    
Do we have a business plan?    
Do we have a strategic plan?    
Do we have formal (in writing) policies and procedures?    
Is the business in good financial standing?    
Do we have an operating budget?    
Do we have a compensation and incentive program?    
Do we have a performance appraisal system?    
Do we have a board of directors?    
Can we attract and retain non-family managers?    
Is the business in a highly competitive industry?    
Are we experiencing an increase in sales?    


Family business issues    


Do family members know they are welcome to join the firm?    
Do we have policies for entry into and exit from the firm?    
Is a system in place to train and develop the successor?    
Do we have a succession plan?    
Can family members in the firm effectively communicate?    
Do we have a system to resolve conflicts?    
Are women welcomed in the business?    
Is there a minimum amount of sibling rivalry in the firm?    
Is there a system in place for choosing a successor?    
Does the family agree on goals for the business?    


If you answered no to any item action should be outlined and implemented to address and set policies for that item.

Leave a Reply