America’s Small Logistics Firms Need a Succession Plan | Opinion
Preparing for ownership transitions can help preserve viable businesses, protect jobs, and reduce disruption for customers.
The article highlights the potential supply chain crisis that could arise due to the lack of succession planning for small logistics firms in America. As baby boomers retire, about six million small and midsize businesses could face ownership transitions by 2035, representing up to $5 trillion in enterprise value. However, 92% of small-business exits end in closure, compared to only 5% through sales.
This failure to connect owners with successors has far-reaching consequences, including job losses, reduced competition, and higher costs for consumers. The article argues that a business can be sold to a qualified buyer who understands the industry, respects the workforce, and has a credible plan for continuity, rather than simply being shut down.
This approach could keep up to 12 million jobs in place and protect approximately $250 billion in annual economic activity.
Brief written by urgent.news from Newsweek's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
