The idea of transition training is very important in the transportation business sphere. The day-to-day workings could be severely disrupted if the new owner does not understand or consider the lasting effects of even the smallest decisions. Incorporating a period of time for the current owner to facilitate transition training to the prospective owner is crucial for the survival of the business. Not to mention the seller could garner more revenue depending on how much time the buyer wants for transition.
A smaller business will transition faster due to the smaller amount of information that needs to be transferred. Likewise, a larger, more complex, business should have a longer, more in depth, transition period. With a smaller business, the seasoned employees may be able to facilitate transition training without the seller present. However, a larger business will have a disconnect from the owner to the employees, thus a transition period is important and should last a few weeks, maybe longer. Regardless of size, if the company transferring hands has a high clientele concentration, over 50% in one or two clients, the transition period could be rocky. Loosing just one large client could be a deathblow for the company. This situation calls for a dedicated seller to gently guide the buyer through the transition period. Not only will this comfort customers it will also ensure future company stability.
The business transportation world including medical and non-medical private transportation is a tricky sphere to operate in without experience. A buyer just entering the transportation industry will require a longer and more in depth transition period. Transportation businesses have a slew of rules to follow that an outsider will have to grasp. Offering this buyer a lengthy transition period could up the value of the sale.
The tricky parts to any business transition are the people involved. A buyer and seller may not always get along. Any number of things such as emotional attachment and stubbornness could strain this relationship. As a seller, allowing the buyer to threaten your authority as a transportation industry veteran, especially in your business, will disrupt the transition. Likewise, a buyer who disregards the advice of the seller could miss important insight. Having a flexible outlook to the situation is crucial on both sides. Relax and realize that both parties are just seeking the best interest of the company and listen to each other. A relaxed seller/buyer relationship will insure a successful transition period. A seller walking away from a successful buyer who went through a smooth transition and built strong employee/customers relationships can be sure the business will do just fine.
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