NEW SUCCESSION PLANNING CENTER

The American Institute of Certified Public Accountants (AICPA) has launched the Succession Planning Resource Center to help firms address the lack of succession planning, particularly for mid-sized and smaller firms.

According to the AICPA's 2008 Private Companies Practice Section (PCPS) Succession Survey Research Report, only 35% of multi-owner firms and 9% of sole owner firms have a written succession plan. That represents an increase from 25% of multi-owner firms in the 2004 survey, but it leaves the majority of firms in a potentially precarious position.The Center provides a number of different scenarios the firms can work through as possible strategies for their future.

It is widely acknowledged that succession planning is vital to the strength and longevity of a firm. Why then the lack of planning? Is it denial? Is it the same thing that keeps many individuals and families from doing their estate planning early enough to make it most beneficial?

Phyllis Weiss Haserot     www.pdcounsel.com