This article was originally published by Wealth Professional Canada.
The article explores the risks family businesses face when leadership transitions are based on assumptions rather than formal succession plans. Jim Harmon, Canada Managing Partner at Boyden, argues that succession planning is a matter of fiduciary responsibility and good governance, requiring clear criteria, emergency contingencies, and an objective assessment of both family and non-family candidates. Harmon also emphasizes that a well-maintained succession plan helps protect family harmony, preserve business value, and avoid conflicts that can arise during unexpected leadership transitions.
