Owners of family-managed business asked Elliott Davis: “Can you help us assess ownership and leadership transition options, so that we can play a more passive role in the organization and reap the most economically beneficial results?”
Context
Construction company providing site work in the Southeast
Second generation, family-owned business
Challenged with determining the best option for transferring ownership and leadership responsibilities
Needed to develop succession strategy to help current owners plan for the future
Our Approach
Focused on aligning the direction of the business with the owners’ personal desires and goals
Conducted Phase 1 assessment to define succession strategy and priorities using four pillars:
Personal: owners’ desires, plans and goals
Finance: valuation considerations, value drivers, financial transparency
Operations: roles and responsibilities, policies and procedures
Governance: legal documents, current ownership structure, operating agreements
Then, executed succession strategy initiatives in Phase 2
Client Impact
Identified two potential exit options aligning with owners’ goals:
Company sale
Passive ownership
Supported both exit options with recommendations to achieve most advantageous exit from the business (e.g., develop strategy growth plan, address leadership gaps)
Continued providing strategic advice and support as owners navigated the execution of the succession strategy (e.g., hiring support, deal negotiation)
We Can Help
For more information on how Elliott Davis can assist you and your business, contact a member of our team.
The information provided in this communication is of a general nature and should not be considered professional advice. You should not act upon the information provided without obtaining specific professional advice. The information above is subject to change.
“Elliott Davis" is the brand name under which Elliott Davis, LLC (doing business in North Carolina and D.C. as Elliott Davis, PLLC) and Elliott Davis Advisory, LLC and its subsidiary entities provide professional services. Elliott Davis, LLC and Elliott Davis Advisory, LLC and its subsidiary entities practice as an alternative practice structure in accordance with the AICPA Code of Professional Conduct and applicable law, regulations and professional standards. Elliott Davis, LLC is a licensed independent CPA firm that provides attest services to its customers. Elliott Davis Advisory, LLC and its subsidiary entities provide tax and business consulting services to their customers. Elliott Davis Advisory, LLC and its subsidiary entities are not licensed CPA firms. The entities falling under the Elliott Davis brand are each individual firms that are separate legal and independently owned entities and are not responsible or liable for the services and/or products provided by any other entity providing services and/or products under the Elliott Davis brand. Our use of the terms “our firm” and “we” and “us” and terms of similar import, denote the alternative practice structure conducted by Elliott Davis, LLC and Elliott Davis Advisory, LLC.
