Equity Transmissions

Looking to create an ownership succession plan or sell your business?


Equity Transmission refers to transfer of ownership of the business from the existing owners to the new ones. It may include selling one's equity stake, or transferring the business to others (including legal heirs), to ensure the continuity of the business. A common problem witnessed in equity transmission process occurs when an owner wants to divide his equity stake equally between his children. The conflict lies between successors due to their difference in priorities; for e.g. - the ones running the business will want the profits to be reinvested, while those not involved in the business would want profits to be paid out as dividends. Hence, it is of utmost importance to plan the ownership succession properly, to ensure success of the business in the hands of the second generation.


Challenges

  • Analyze your business and its ability to survive in the near future, in terms of changing market scenario, the services offered and their projected demand
  • Identifying the heirs in the second generation, who have the capability to take the business forward
  • Conflicts between heirs due to difference in priorities
  • If the business' chances of survival are not bright - taking the tough decision  to sell it

 

Solutions

  • V4G helps plan ownership succession in a very systematic and strategic manner
  • Providing current state assessment and future growth potential of the business in an objective manner
  • Creating an ownership succession plan (2 to 4 years) to ensure that all the business secrets are passed on to the next generation
  • Identifying and grooming the heirs to take over the mantle in a smooth and phased manner
  • Structuring the ownership succession plan in a manner so as to minimise conflicts between the family members
  • If required, creating and executing a plan to sell the business, realising the maximum value for it


Benefits

  • Partners and associates at V4G utilize their proven expertise to help create the most suitable ownership succession plan for you
  • Professionals with deep industry knowledge in a wide range of businesses, help train and groom heirs with latest industry skills and trends
  • Our team provides all the required professional services and ensures that ownership succession is completed successfully

Sign up for Equity Transmission and learn more about ownership succession plans that are best suited to your requirements.