Succession in a family business is one of the most defining moments in its history. Yet, despite its importance, it’s often met with hesitation and uncertainty. The focus is usually on whether the next generation is ready to lead. But perhaps the more difficult question is whether we’re ready to let go.
Two Sides of Succession
Succession isn’t just about leadership—it’s also about stepping back. Naturally, we ask whether the next generation has what it takes: Do they have the experience? The judgment? The vision? Yet equally important is the question we ask ourselves: Are we ready to hand over the reins?
For many family business leaders, their role isn’t just a job—it’s their identity. Stepping aside can feel like giving up a part of yourself, especially when the business represents years of effort, sacrifices, and achievement. But succession isn’t only a practical shift; it’s also an emotional one.
Trusting the Next Generation
It’s easy to scrutinise the next generation through a lens of perfection. We wonder if they’re truly ready or capable of leading the business.
But did we have all the answers when we first stepped into leadership?
Leadership isn’t about having all the answers from day one. It’s about having the willingness to learn, take risks, and make decisions. Trusting the next generation doesn’t mean stepping away completely—it means believing in their potential, recognising that they might do things differently, and accepting that they will learn from their mistakes just as we did.
The Risks of Holding On
Delaying succession can come at a cost. The next generation, eager to contribute, may feel frustrated if their path to leadership is continually blocked. Employees may become uncertain about the chain of command. And the business itself can miss critical opportunities in a competitive market.
By holding on too long, we risk limiting the very people we’ve worked to prepare. Succession isn’t just about maintaining continuity; it’s about enabling growth and giving the next generation the space to shape the future.
Redefining Your Role
Stepping back doesn’t mean stepping away. Many leaders find a renewed sense of purpose by transitioning into roles where they can guide and advise, whether as a mentor, board member, or strategic advisor. These roles allow you to remain connected to the business while letting others take the lead.
This shift also presents an opportunity for self-reflection. What passions or projects might you pursue without the demands of daily leadership? Whether it’s dedicating time to family, exploring new ventures, or contributing to the community, stepping back can open doors to new and rewarding possibilities.
A Shared Effort
Succession works best when it’s approached as a collaboration. It’s not a sudden handover, but a gradual process that gives the next generation the chance to build confidence and learn the ropes.
Clear communication is key. Honest discussions about expectations, roles, and concerns help everyone stay on the same page. With a well-thought-out plan, transitions become smoother, and trust is strengthened across both the family and the business.
Building a Legacy
At its heart, succession is about creating something that endures. It’s not about replicating the past—it’s about enabling the future. By stepping back at the right time, you create the conditions for the next generation to lead, innovate, and meet new challenges.
Letting go is never easy, but it’s an act of trust in those who will carry your legacy forward. Done well, succession not only secures the business but also strengthens family bonds and ensures that each generation builds on the achievements of the last.
Succession isn’t the end of your journey—it’s the start of theirs. With trust, clarity, and collaboration, it’s a moment that can pave the way for lasting success for both the family and the business.
About the Author: David Twiddle is Managing Partner of TWYD & CO. He advises business families on the appointment of non-family executives and on the complex and sensitive people challenges often encountered in family enterprises.