Corporate succession / MBO / MBI – Passing the baton to the future

Entrepreneurs of medium sized companies, especially owner-managers of family businesses, have often devoted their entire lives to their company and their industry. Nonetheless, a forward-looking businessman knows he must plan ahead for when the time comes to step down. Taking in a private equity partner like HANNOVER Finanz is one way of assuring a smooth and satisfactory succession of ownership.

It is not always possible to hand over the reins to a member of the family. A management buy-out enables the entrepreneur to involve the existing management in the company. With the financial support of a private equity company like HANNOVER Finanz, the managers can acquire the company and themselves become entrepreneurs. The advantages of this are clear: the new owners will already be thoroughly familiar with the company and its strengths, potential and goals.

In a management buy-in, by contrast, the company is taken over by an outside management similarly supported by an private equity partner. The HANNOVER Finanz Group has extensive experience of all these succession variants. In addition to providing equity, the financial investor supports the new entrepreneurs with its management know-how and the advantages of its network.

Examples of a successful succession of ownership with the support of HANNOVER Finanz include Eschenbach Optik GmbH, Willy Vogel AG and the preparation for succession at Franz Ziener GmbH & Co. KG. Further examples can be found under Portfolio.