Importance of Succession Planning to Long-Term Success

In the April 2023 Snapshot Survey, we asked contractors about their thoughts on planning for company succession. Here’s one survey question and its results from the summary report, which is available in it’s entirety by Contractor University members here.

How Important Do You Think Succession Planning Is For Long-Term Success?

The vast majority of respondents (68%) said that they consider succession planning to be extremely important for the long-term success of their business. This is a positive finding, as it suggests that most home services businesses are aware of the importance of succession planning. However, it is important to note that even if a business considers succession planning to be important, it does not necessarily mean that they are actually taking steps to implement a succession plan. In fact, in a follow-up question, 64% of contractors said they don’t have a formalized succession plan put into writing.

Here’s what an HVAC contractor from Louisiana:

“As a newer business owner, succession planning was not on the top of my list of priorities, but after trying to grow as a business owner and entrepreneur, I am realizing that this should be just as important as other parts of my business plans.”

Contractor University members can click here to access all of our resources on succession planning.