Business Succession Plan vs. Business Continuity Plan

Last month, we wrote about Business Succession Planning and the role that an attorney plays in it. One of the questions we received from the article asked about the difference between a Business Succession Plan and a Business Continuity Plan. Do they achieve the same thing? Is one easier to create than the other? How concerned should a business owner be about having either? To help answer those questions, let’s first explain how both processes work.

Business Succession Planning

Business Succession Planning is the process of preparing for an eventual change in leadership roles at your company. Creating a Business Succession Plan means acknowledging that your business has a future beyond you leading it, and beginning to look at what that future might be. While creating a Business Succession Plan sometimes means that you are looking to exit your company in the near future, it can often be planning for years ahead. In fact, creating a Business Succession Plan and teeing someone up to replace you in the primary leadership role at your company can often lead to a period of growth and prosperity for everyone involved.

Business Continuity Planning

Business Continuity Planning is the process of ensuring that your clients will receive their regular standard of service no matter what happens to challenge your regular processes. Business Continuity Plans have been around for a long time, but have been of particular interest following the COVID-19 pandemic (as I’m sure you can imagine.) A Business Continuity Plan seeks to address how your clients will still receive your regular service in the wake of everything from natural disasters to your death. Business Continuity Planning is an attempt to expect the unexpected and ensure your business is prepared for anything.

Which is Right For My Business?

As you can see, Business Succession Planning and Business Continuity Planning serve entirely separate purposes. Business Succession Planning prepares for a planned change in your company, while Business Continuity Planning prepares for unplanned disruptions that might make your business difficult to accomplish. Business owners who are serious about the future of their company should make sure they undertake both processes. They complement each other rather than conflict. Best of all, you can rest a little easier knowing that your business has a plan for the future.

How Do I Get Started?

For help creating a Business Succession Plan, a Business Continuity Plan, or both, contact Bryant Taylor Law today! We help build and protect Florida businesses, every step of the way.

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