You are the owner of a family business and you wish to hand over the ownership of this business. However, only in a proper and careful manner. At the same time, you are aware of the fact that this is not the best economic time to sell your company. How will you find a suitable successor? And will you choose a family member or an external CEO? The Quaestus Executive Search & Leadership specialists are able to help!
Quaestus has a good understanding of the issues family businesses are facing and like no other, we know that selecting the right successor requires thorough analysis of both business and emotional considerations. It is precisely for this reason that, in addition to Executive Search experts, we have in-house specialists available in the field of Leadership & Assessment who possess extensive experience regarding succession and the assessment and development of people.
Many directors who are close to reaching the retirement age face a number of challenges. The transfer market is quiet as a result of the Euro crisis, for the same reason business profits are lower and thus, it is not the best time for selling a business. Where will you find a good substitute? How will you know if your current management would be suitable for taking over the business? And what to do if your children are still too young?
Finding a suitable substitute is a complex process in which reason and emotion can be conflicting factors. Our care extends not only beyond the selection process, we also carefully consider the desired structure. For example, do you wish to maintain the ownership and only transfer the management to an external CEO? And how will you safeguard important factors, such as the arrangement of ownership and control within the family? You may have more options than you think.
Our approach? We always start by performing a thorough succession scan, which provides an analysis of the current situation. In this process, we also ask the ‘question behind the question’ and include the cultural values of your company. Subsequently we come to an advice and a plan of approach. Our specialists will then commence the selection procedure, of course in close liaison with our client, to find the ideal candidate.
Our services for family businesses include:
If there are family members who wish to take over the business, we recommend a family audit. The strengths and weaknesses of the family members involved will be thoroughly assessed by Quaestus and its team of specialists. Furthermore, motivation and commitment of the family members is of vital importance. The outcomes are discussed with the DMS and form the basis for a plan of approach.
If there are no (suitable) family members for DMS succession, we will analyse the options regarding the current management team. Through extensive interviews with Quaestus and their advisors, supported by thorough methods, we gain insight into the qualities, competencies and motivation of the members of the management. The outcomes will then be thoroughly evaluated together with the DMS and form the basis for a subsequent plan of approach.
Search & Selection external successor
If it is decided to recruit an external CEO, we will draw up a comprehensive job description and candidate profile based on the outcome of several meetings. To establish the perfect match between organisation and candidate, we also take into account the (cultural) values of your family business and the specific market situation. Our specialists will then start the search for the best candidate for this very important position, using their wide knowledge of the industry, their extensive network and ‘multi-channel’ recruitment method. The selected candidates are thoroughly screened through interviews and tests, before they are introduced to you.
Once the candidate is selected, it is important to establish good arrangements between the new CEO and DMS. How will the transfer be structured? What are your views regarding phasing-out? How is organisational decision-making arranged? It is recommended to record such agreements properly beforehand. Our Quaestus specialists can provide you with advice.
Coaching and Onboarding
Experience shows that a good Coaching and Onboarding program strongly increases the chance of success. This means that both the new CEO and the DMS will be coached by our specialists during the first year, to provide the optimal chance of success. As a result, you are able to take a step back, resting assured that your company is in good hands.
Traditionally, Private Equity is a leading sector. Whilst entrepreneurs in many other markets are in the red, or fear that they will be, organisations in the private equity field are already recovering. Under pressure from investors, the management of these companies is generally more decisive. Businesses that have taken swift action in order to overcome the crisis, find themselves in a relatively good position. This creates space to look around once again. The buyer’s market provides various interesting opportunities, especially for businesses backed by financially strong shareholders such as Private Equity. Quaestus is pleased to look into optimisation of the team that will have to achieve the new course set out. We have a wide network of talented top professionals, which enables us to operate in a highly efficient manner and deliver the missing links within the team.