Episode 003: Transitioning Family Businesses to the Next Generation

In this episode of the podcast, Tammie Miller, your host, discusses transitioning family businesses to the next generation with guest, Paul Griepentrog. Paul is an Attorney, CPA, and Shareholder at Godfrey & Kahn in Milwaukee, WI. Paul has significant experience working with closely-held and family-owned businesses, with a particular focus on intergenerational business transfers.

In this episode, Tammie and Paul discuss the following topics:

• [2:41]    What happens when the senior generation is ready to retire but the next generation is not ready to take over?
• [8:49]    How long should the previous owner stick around?
• [13:13]  Issues with family dynamics when the business is transferred to one of several children.
• [18:57]  Cash vs. inheriting a business.
• [20:11]  Strategy to successfully transfer a family business.
• [23:55]  How to compensate a child that is not receiving equity in the business.
• [27:11]  What to do when there is not a “clear” successor.
• [28:11]  Tammie shares a “horror story” in a family business transfer.
• [33:38]  Paul shares an example of a successful intergenerational transfer.
• [38:50]  Who to call first when planning an intergenerational transfer.