Changing of the guard
With growth in the SMSF sector at all-time highs, Rachael Micallef finds out why practitioners should look to a succession plan to secure the future of their practice
SMSF PRACTITIONERS are used to asking their clients the hard questions about planning for retirement: When do you want to stop working? How much will you need? What is the plan if the unexpected happens?
It’s ironic then that so many of these professionals are unprepared when it comes to planning – including succession planning – within their own businesses.
Business Health statistics from October 2012 reveal that only 28 per cent of advice practices report having a documented business plan, which Centurion Market Makers director Chris Wrightson says gives some insight into the climate for succession planning.
“Most people aren’t going to have a succession plan without a business plan, so I kind of think that if only 28 per cent of the Business Health results [have] a business plan, less than that will have a documented succession plan,” Mr Wrightson says.