Anchin is recognized by Construction Executive in The Top 50 Construction Accounting Firms™ for 2025

ANCHIN HAS BEEN RECOGNIZED BY CONSTRUCTION EXECUTIVE IN THE TOP 50 CONSTRUCTION ACCOUNTING FIRMS™ FOR THE SEVENTH CONSECUTIVE YEAR.

Anchin’s Phillip Ross shared some key considerations for succession planning:

Choosing the right succession strategy is one of the most important decisions a construction business owner will make, and each option requires careful planning.

Key considerations for succession planning include early preparation, strong leadership team, financial strength, operational efficiency and competitive/market differentiation.

Owners must focus on building a leadership team capable of running the business independently. Mentoring the key people is essential as well as the team understanding all the aspects of the business.

A company’s financial health, demonstrated through profitability, consistent cash flow and a strong balance sheet, is essential, as these factors make the business more attractive to the next owners and allow for greater flexibility in choosing a transition path. Clearly defined market positioning, whether through niche expertise, geographic reach or longstanding client relationships, also enhances a firm’s value and appeal. Operationally, companies with documented processes, strong governance, risk management and advanced internal systems are better positioned for scalability and future success.

Engaging advisors early allows owners to evaluate their succession options and to understand the pros and cons of each. It also enables the owner to decide what their goals are—highest price, legacy, culture or some combination of these. Options could include transferring to the next generation, internal buyouts, ESOPs, private equity investment, or mergers and sales. Each option has distinct benefits and challenges; the right path depends on the owner’s goals. Ultimately, a well-prepared firm commands higher valuations, enjoys more transition opportunities and is poised for continued growth in the future.