The topic of succession planning comes up frequently when I work with law firms across New Zealand. Tis, no doubt, is symptomatic of the ageing baby boomers’ era and the multi-generational transfer of wealth.
Getting succession planning right is critical for any lawyer or law firm. Unless you plan to close the doors permanently on your practice (and walk away from any value it might have to your clients and your firm), on the day you cease practising law, succession planning will be an issue for your law firm and you.
I think of law firm succession planning as the proactive, orderly and realistic process of planning what will happen when lawyer(s) cease practising such that the client base served by those lawyer(s) will continue to be a valuable asset for the firm.
Succession planning is complex because it involves financial, technical, interpersonal and other considerations. A firm needs to address each aspect of the process and, ideally, do it right the first time. Mistakes are costly in succession planning. It is about a lot more than just money and technical expertise.