Nearing Retirement, Many Baby-Boomer Business Owners Have No Plans for Transition

A new SunTrust Bank survey found 36 percent of baby-boomer business owners have no current or specific plans for transitioning their company to a new owner, reports the South Florida Business Journal . Nevertheless, more than 50 percent said they expect such a transition to occur within the next eight years. "A lot of owners don't plan ahead for the transition, so when it comes time to sell, they have to start learning from scratch about the market, which can make the process even tougher," says SunTrust's Shawn Sackman. Meanwhile, 35 percent of respondents admitted they were likely to sell their business to a private equity firm or third-party investor versus 31 percent expecting to transition ownership to a family member. Sackman observes, "Private equity firms and investors are looking for great assets and companies to acquire. If you're a business looking to sell, it's a great time in the market to do it."