Think beyond the exit strategy…

CVG supports firm founders embarking on ownership and leadership transition in their firms. Be it internal succession, merger, acquisition, or even firm closure, CVG can help you plan for your firm’s future.

How do firms succeed in transitioning ownership and leadership? It requires mutual understanding and aligned goals from all parties: exiting owners and their successors. Our approach balances the needs of all parties to arrive at a transition blueprint that clarifies expectations, demystifies the process, and sets the stage for the ongoing success of your firm. CVG goes beyond simply setting the “exit strategy.” We work closely with emerging leaders to learn aspects of firm management that might be new to them.

Our scope can be customized to meet your needs, but typically it includes the following phases:

Phase One: Assessment

• The CVG team conducts individual interview(s) with the current owner(s), to understand motivations, timing, and desired outcomes of the ownership transition.

• We present a group educational session with all involved to introduce the ownership transition process and the steps we will follow together.

• We conduct individual interviews with potential successors to gauge risk tolerance and aspirations as future firm owners.

• CVG will do a formulaic valuation of your firm. This is based on formulas provided by the Zweig Group Report on architecture firm valuations.

• We’ll deliver a financial assessment, including a review of current and recent years' financial performance of your firm. This includes a Financial Discovery Meeting to review financial findings.

Phase Two: Financial Planning

• We’ll develop an ownership transition plan including timing, stock transfer roadmap, and cash flow pro forma – and we’ll revise the roadmap and pro forma per review by current owners

• CVG will develop a Memorandum of Understanding (MOU) to document financial aspects of equity transfer offered to incoming owners – and we’ll revise the MOU per review by current owners.

Phase Three: On-Site Visit + Organizational Design

• The CVG team will conduct an on-site visit to include:

  • meetings with successor(s) to introduce all aspects of the transition deal.

  • facilitation of an organizational design charrette with current leaders to discuss firm structure, current and future, defining titles and roles including partner and principal.

  • discuss messaging to staff.

  • discuss options for rewards and recognition of valued staff, other than firm ownership.

• We’ll discuss firm governance, now and in the future.

• Together, we’ll develop clear roles and responsibilities for the expanded leadership team.

• We’ll revise the MOU and spreadsheets as needed based on review by incoming owners.

• We’ll prepare the MOU to transmit to the current owner's attorney for development of a buy-sell agreement.

• CVG offers participation in CVG's Foundations program for up to two emerging leaders