Mainebiz

V O L . X X X I N O. I X M AY 5 , 2 0 2 5 14 B U S I N E S S S U C C E S S I O N A N D T R A N S I T I O N A ccording to Catherine Wygant Fossett, who runs the Portland-based Institute for Family-Owned Business, the biggest challenge for families transitioning a business from one generation to the next is, "Starting the process early enough and having the fortitude to see it through." A 2023 Price Waterhouse study found that 72% of owners want the business to stay in the family, yet only 34% have a robust succession plan in place. Two families we recently spoke with, who run very different multi-genera- tional retail businesses, have been work- ing to structure their transitions, and a written plan is evolving for each of them, but it's not a quick process. Sorting out all of the details requires a lot of conver- sations, and a lot of time, while also stay- ing focused on running their businesses. Two families with their eyes on the future Both of the businesses Mainebiz talked with — S.W. Collins and McDougal Orchards — are over 100 years old and have successfully transi- tioned through multiple generations. Still, as Matt McAdam, 8th genera- tion incoming owner at McDougal's, points out, there's no set game plan from previous years to refer to, "It's different every time because the per- sonalities are different." Mainebiz met with Matt and his family — sister Polly and parents Ellen and Jack — at the farm on a blustery April afternoon. Matt was just coming in from supervising prun- ing, no small task with 4000 trees that need to be trimmed annually. Matt and his sister Polly are two years into preparing to lead the busi- ness. Ellen and Jack moved back to Ellen's family farm in 1989 and took over from her parents in 2009. Ellen's ancestors bought the land in 1779, and over the generations, built an orchard. Many of the original trees are still producing today. e majority of the orchard's stock are apple trees, in more than 40 variet- ies, and there are peach and plum trees too. e family also grows raspberries for pick-your-own, and pumpkins and winter squash, which helps to diversify their product lines. ey sell directly to customers who come to the orchard to pick, shop, picnic and walk the trails. Matt and Polly have worked on the farm in some capacity since child- hood. ey're in their early 30s and both left for college, travel, and work for other companies — Matt for several growers in Maine — before realizing that the family business was truly in their blood. Is the next generation fully committed? Ellen and Jack are delighted that Matt and Polly will succeed them, as they're in their 70s and looking forward to retire- ment ( Jack more than Ellen). But they were adamant that the kids' decision was rooted in enthusiasm for the business rather than from a sense of duty. "We didn't want them back here unless they wanted to be here," Ellen says. Ensuring that their children are fully committed to taking over was an early point of discussion at S.W. Collins too. (Mainebiz spoke with company presi- dent and CEO Sam Collins and his daughter Clara Collins in a phone call.) Sam jokes that the first step to tran- sitioning a family business is to have a lot of children; he has four. He agrees though that the conversation starts with gauging the next generation's passion. His youngest daughter Clara expressed an interest as a teenager, and is the "logical choice" in his mind. "She has the aptitude and the attitude; she has what it takes." Clara never felt any pressure to join the business, "It was a matter of 'abso- lutely, if you want to.' It's very hard for somebody to be half in and half out, especially in a family business. You have to be committed. You have to be there because you want to be." Defining everyone's roles Clara and her cousin Adam Collins, both 29, worked in the family's stores during high school and college and have been full-time for the past five years. ey'll be the 6th generation to lead the company. Adam is the youngest son of Gregg Collins, Sam's younger brother and company vice president. Gregg continues to lead strategic planning and works closely with suppliers. Responsibilities for the incom- ing leaders are already fairly well defined. Clara is operations manager, focused on streamlining processes and enhancing customer experience. Adam has expertise in business devel- opment, focuses on driving growth and modernization and is involved with lumber purchasing. Both have business degrees with concentrations in finance and management. PREPARING FOR THE FUTURE Matt McAdam, owner and orchard manager, holds his son William with his daughter Madeline, his sister Polly and his parents Ellen and Jack at their McDougal Orchards in Springvale. F O C U S McDougal Orchards Springvale / mcdougalorchards.com Founded: 1779 What it does: A 346-acre family farm on Hanson's Ridge Road in Springvale. The orchard is open for u-pick in season, and there's a farmstand in the barn selling fruits and apple cider, products from other Maine farms, and freshly made donuts P H O T O / T I M G R E E N WAY Two family businesses managing succession B y T i n a F i s c h e r

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