Help your borrowers make leadership transitions
Abstract: Current and ongoing demographic trends mean that a large segment of the population is heading for retirement. This fact may have significant effects on small business loans. As family business owners leave their companies for greener pastures, lenders need to make sure those same owners don’t leave their businesses in the lurch. This article explains that advising borrowers to create viable succession plans for leadership transition can work wonders to ensure their businesses’ long-term stability — and ultimately, the success of loan portfolios.