If you get into a crash, you won’t survive without an airbag. The same goes for your company.

In this economy, not having a succession plan in place could be the worst thing for your small business, your family, and yourself. In the event of your death or incapacitation, what’s going to soften the blow?

As the CEO, it’s your responsibility to begin grooming a successor for your role as a leader. But this isn’t enough; you’ll also need a solid team to keep him or her afloat. 

Next, it’s essential to have a physical, written succession plan. When you’re crafting it, expect the worst and hope for the best. It’s always better to be safe than sorry. For example, consider the tax consequences your estate will face and how that might influence the sale of your company. 

But, more important than your business is your family. Trust me: you cannot afford to keep avoiding this issue. Everyone’s time on Earth is limited, so quit thinking that you’re the exception. Plan for the future, and consult with a qualified estate-planning attorney regarding the personal needs of your family before it’s too late. Remember: if you don’t write your own will, someone’s going to do it for you.

And when you’re so busy worried about your business and your loved ones, you often forget about yourself. Now is the time to break this habit. There could come a day where you cannot act on your own behalf, and you should begin drafting a power of attorney and advanced medical directive in preparation. This might be hard to grasp—but ignoring the issue doesn’t mean it won’t come up in the future. 

To find out exactly what your succession plan should entail, read my Legal Edge column in this month’s edition of SmartCEO, and learn how to protect your small business from being totaled.

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My Legal Edge Column in SmartCEO