Private, Regional Full Service Commercial Real Estate Firm – Succession Planning
The Challenge
A private, regional full service Commercial Real Estate Firm with six partners, all within 10-15 years of retirement, was facing a major ownership/management change. One of the six partners was beginning to divest his interests in the company to move toward retirement. The remaining five partners wanted to evaluate their options and get consensus on an ownership succession plan for the company for when they too decided to retire.
The Client asked Teel StratVisor Group to assist them in objectively analyzing and identifying the best ownership succession plan for their company.
What We Did
The Teel StratVisor team began by facilitating a working session with all of the partners to understand the current state of the partnership and partners' long-term goals. The team reviewed current partnership agreements and surveyed partners on their individual short- and long-term financial and business involvement goals. Based on the information gathered, the StratVisor team was able to develop an objective Strategic Decision Scorecard that included several succession options, such as positioning the company to sell, positioning the company for junior partner succession/buy-out, and selling service lines of business to allow for minimal partner involvement. The team then facilitated the final scoring and weighting of the scorecard with the partners. Finally, the team developed recommendations for a long-term succession plan based on the partners' objectives.
The Result
As a result of working with Teel StratVisor Group, the Client received the following:
- On-site facilitated succession planning workshop(s)
- Objective, weighted scorecard used in the development of the succession plan and analysis
- Documentation of the short- and long-term goals for ownership succession of the company
- Partner consensus on a strategic direction
Timing: 8 weeks
