SUCCESSION PLANNING
to continue on,” Brett explains. “We preach to the choir really well, but we need to expand the choir, the next concentric circle out.” The Generational Challenge and Why Planning Matters “Baby boomers at the tail end of working still own the majority of businesses,” Mohr tells me. “And that’s a real problem for lines of ownership in North America, both in terms of accountability and shares. A lot of managers out there don’t own shares.” The Browns see this challenge in their market. “There’s an aging ownership demographic and an aging shopping demo- graphic. We’re reaching a new demographic that shops in a
different way. In this business the approach is a bit old-school, and turning that over is like moving a very big ship—it doesn’t turn quickly,” Cody observes. They’ve found support through industry networks. “The GOA group support has been amazing. We’ve had full alliance with every- body, we can pick up the phone with Gabe or Dana and reach out as needed. In independent retail the problems are the same across the board, so it’s nice knowing we’re all in it together,” Cody says. The challenges are real for larger stores. The Base Camp op- erates 12,000-square-foot stores with substantial inventory. “We’re up against the big-box stores in Billings, less so in Helena. Billings
has a giant Scheels and REI. Our own suppliers are going direct,” Lauren and Cody continue. “We love to be able to curate and have a cool selection that has some- thing for everybody, but it’s not REI. It’s a lot of work to pick all that, but I think it’s why we’re still in business.” Mohr identifies why many successions fail. “I begin by asking them questions that someone who would be buying the business would be asking. Employee contracts, lease, books, etc.” Often these basics aren’t documented properly. The transformation requires shifting from what Mohr calls the “habitualized spot of not allowing other people to make decisions for you.” His approach focuses on systematic improvements. “It’s not something that happens in a month or six months. But if you have this guiding star… that things can be done without me, that I have the right team in place. Once you get to that level, now it becomes a choice,” Mohr says. “It’s either time or money. You can’t buy more time for yourself, but you can buy other people’s time.” What Success Looks Like For Alisha Maher, success meant focusing on relationships along- side business logistics. “Succession planning is as much about people as it is about logistics. Being open, communicative, and collabora- tive at every stage helped turn what could have been a stressful handoff into something we could actually celebrate,” she imparts. The Browns are already thinking ahead to their own future succession. “It’s been really interesting observing our parents’ succession plan. So we are starting that now,” said Cody. “Set it up so that the systems are so embedded that we aren’t leaning on just ourselves. Implement them on the front end, and set the systems up
so that everything is documented and replicable.” And for the Havertines, success meant balancing respect for legacy with evolution, while building trust with long-term employees. As I continue visiting shops and chatting with their owners, I’m struck by how many are facing these same challenges. Whether the successor is a family member, longtime employee, or external buyer, the goal remains the same: ensuring that the passion, exper- tise, and community connection that define specialty outdoor retail continue to thrive for generations to come. The outdoor industry has always been about adventure, challenge, and careful preparation for the journey ahead. Succession planning requires the same mind- set: acknowledging the challenges while preparing thoroughly for the adventure of passing the torch to the next generation. For specialty retailers, the ques- tion isn’t whether succession will happen, it’s whether it will happen by design or by default. All options require honest assessment, clear communication, and respect for what came before while building for what lies ahead. —Aaron H. Bible is an award-winning journalist and multimedia producer with three decades of experience working as a trade reporter, writer, editor, pho- tographer, and content specialist in the outdoor, action sports, and active lifestyle industries. Aaron is a contributing writer and editor for publications including Freeskier , Men’s Health , Popular Mechanics , Sunset, GearJunkie, 5280, Elevation Outdoors, Back- packer, Paddling Life , and others. He holds an MFA in photography from the Savannah College of Art & Design, and has worked as a gallery director and educator. His primary passions are skiing, cy- cling, yoga, and his two little girls Lavender and Marigold.
The Four Critical Questions Every Owner Must Answer Before you can create a succession plan, you need clarity on your endgame. Pete Mohr’s framework starts with four fundamental questions: 1. What’s Your Endgame? • Sell to a third party (61% of business owners choose this path) • Transition to the next generation of managers (23%) • Pass down to your children (9%) • Other options (7%) 2. By When? Research shows 81% of business owners plan to exit within a decade, but only 19% have concrete plans. Set a realis- tic timeline—succession planning takes years, not months. 3. How Much Do You Need? Calculate your “Freedom Point”—the amount you need to maintain your desired lifestyle without the business. Factor in: • Pre-tax income needs
• Years you’ll need that income • Assets outside your business • The “frictional costs” of selling (intermediary fees, legal costs, taxes)
4. How Close Are You? Assess the gap between your current busi- ness value and what you need. Most deals aren’t all-cash offers, so understand what role you might play post-transition. Remember: 50% of business owners exit because they have to, not because they want to. Plan ahead to maintain control over your exit timing and terms.
22 GRASSROOTS STORIES
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