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If you own a plumbing company, machine shop, construction business or another small business in the Upper Peninsula, you may be approaching a time when you are asking an important question: What will happen to my business when I retire? After spending 20, 30 or 40 years building your company, you deserve to consider your options carefully rather than feeling that closing the doors is your only choice.
Recently, I’ve learned of several area businesses whose owners are considering selling their equipment and liquidating rather than transferring their companies to new owners or managers. In many cases, those businesses have loyal customers, experienced employees and reputations earned over decades. Those things have value that may be lost when an otherwise healthy business closes.
This is not simply a local concern. Bridge Michigan reported in December 2025 that about 53% of Michigan business owners are 55 or older and at least half of businesses have no formal succession plan. That should concern every community that depends on locally owned businesses for jobs, services and economic stability. Bridge also described a Chesaning clothing store whose fourth-generation successor is helping preserve a longstanding business and its community relationships.
Start planning before you are ready to retire
Succession planning means deciding who will own and operate your business when you step away, then preparing for that change. Suppose you own a plumbing company with 12 employees and hope to retire in five years. Your children may not be interested in taking over, but perhaps a longtime employee could be trained to manage the company, or another contractor might want to buy it. Exploring those options today gives you time to make a wise decision.
Make the business valuable without you
A prospective buyer is not simply purchasing trucks, equipment or inventory; the buyer is looking for a business that can continue serving customers and earning a profit. If every decision, estimate and customer relationship depends on you, the business may be harder to sell. Begin developing a supervisor, documenting how work gets done and reviewing accurate financial statements each month. The goal is to build a company that functions well even when you are not there.
Manage the transition, not just the plan
Naming a successor is not enough. A good tradesperson may need help learning to hire people, manage cash flow, supervise employees and make difficult decisions. Set clear expectations, gradually transfer responsibility and meet regularly to review progress. If you plan to sell, involve your accountant, attorney and other qualified advisers early so that ownership, financing and taxes are considered alongside leadership development.
A final thought
Proverbs 21:5 reminds us of the value of diligent planning. Whether your goal is retirement, a family transition or a sale to another owner, a thoughtful succession plan can protect the value you have built while giving your employees and community a future. Before you decide to close, take time to understand your options. Your life’s work may have another chapter worth writing.
Jeff Ketchum is the founder and president of Lordstone. Lordstone helps small business owners and boards improve cash flow, grow profits, build great teams, plan for succession, and increase business value. He can be reached at jeff@lordstoneadvisors.com or 906-428-9330