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Enhancing Business Succession Strategies: Overview of the 2026 Seminar

On August 20, 2026, Funai Consulting Group hosted the 99th Management Strategy Seminar at the Grand Prince Hotel New Takanawa, focusing on essential topics such as business succession and M&A strategies. The event brought together 133 participants eager to learn about sustaining growth through effective management transitions.

Highlights of the Event

The seminar featured two prominent sessions. The first was led by Ryo Ueki, the Group Manager of the Business Succession and Revitalization Division, who presented on sustainable strategies for business succession. In the second session, Takuji Mitsuda, the President of Funai Consulting FAS, discussed M&A strategies aimed at realizing billion-yen businesses.

Session One: Sustainable Growth Through Business Succession

Ryo Ueki emphasized the critical importance of proactive planning in business succession. He highlighted three pitfalls businesses often encounter when neglecting prudent measures:
1. Cash Outflow Challenges: Without preparing sufficient succession funds, companies can face unexpected cash flow problems even if their performance improves.
2. Inadequate Personal Assets for Buyouts: Key executives may lack the personal wealth necessary to buy shares, making it difficult to execute successful transitions.
3. Diluted Ownership Due to Inheritance: When stock is inherited, ownership can become fragmented, complicating succession.

Ueki detailed the necessity of examining exit strategies from three perspectives: business, assets, and organizational structure. He urged attendees to consider all aspects of a succession strategy, advocating for evaluations that go beyond mere financial implications.

For instance, he argued that the choice of successor—whether family members, employees, or external parties—will significantly influence stock valuation dynamics.

Session Two: M&A Strategies for Achieving Business Goals

In the second session, Takuji Mitsuda framed M&A as a tool for accelerating growth, stressing that simply incremental growth strategies will rarely achieve the milestone of 10 billion yen in sales. Mitsuda pointed out that establishing a business base—such as securing permits, customers, and talent—takes considerable time without M&A, effectively making it a vehicle for 'buying time.'

He shared that many companies hesitate to pursue M&A opportunities due to a lack of preparation on their part. Challenges include inadequate understanding of the investment climate, difficulty envisioning successful integrations, and without established criteria for evaluating potential deals, firms often miss opportunities.

Mitsuda encouraged participants to articulate their reasons for pursuing M&A and develop a company operational system (or “OS”). This system should encompass four key areas: customer acquisition, sales, hiring and development, and governance; all vital for successful growth through M&A. Rather than viewing M&A as an expedient method for mere size expansion, he recommended positioning it within a framework that prioritizes the operational growth of acquired companies.

The Path Forward in Business Succession and M&A

The seminar concluded that every business faces unique challenges in succession planning and M&A. Funai Consulting remains committed to offering integrated support through their network of experts, catering to various strategies based on business owners' specific situations.

Targeted at small-to-medium businesses, the guidance provided covered family succession, employee transitions (MBOs), third-party sales, and strategies for improving corporate value without immediate transfer.

For those navigating the complexities of business succession, reaching out to Funai Consulting’s specialists is a valuable next step, ensuring that each option—whether succession to kin or a third party—can be approached with well-rounded support from professional advisors.

Conclusion

In summary, the 2026 Funai Consulting Seminar provided vital insights into navigating the landscapes of business succession and M&A, reinforcing the importance of thorough preparation and tailored strategies. As businesses look to transition and grow, comprehensive support becomes increasingly essential in shaping their futures.