Succession Planning For Family Businesses: A practical guide to getting started - Succession Planning PLANNING™

Written by: Chris Mulcahy

Unlocking stronger futures through succession planning for family businesses

Succession planning for family businesses is about much more than transferring assets. It’s about giving your family the clarity, confidence and structure they need to move into the future smoothly and successfully. Before any legal documents are drafted or ownership structures are changed, the most important step is preparation and that’s exactly where our Succession Planning PLANNING™ stage comes in.

This foundation phase helps you organise your affairs, understand the opportunities available and prepare your family for meaningful, well-informed decision-making. When done early, it protects relationships, preserves family wealth and sets up the next generation to prosper.

Three generations standing together, reflecting the heart of successful succession planning for family businesses.

What succession planning PLANNING™ is and why it matters

Succession Planning PLANNING™ is the essential preparation stage before you enter a full succession process. It provides a structured space for parents and senior leaders to step back, understand the big picture and gather the right information before making long-term decisions.

Through this stage, you will:

• Gather key financial, business and family information in one place

• Understand the tax and CGT concessions available to your family

• Confirm the level of equity you can preserve through early action

• Build confidence to lead succession discussions with purpose

• Explore how your family can Preserve, Protect and Prosper over time

Families who take time to prepare experience smoother transitions, clearer conversations and far stronger outcomes. Succession planning for family businesses works best when the foundations are strong and this stage builds exactly that.

Why early planning benefits family businesses and farming families

Early planning allows families to move out of reaction mode and into strategy mode. Instead of facing rushed decisions or unexpected tax outcomes, you enter the process informed, confident and united.

This stage helps you:

• Clarify your goals, expectations and readiness

• Encourage healthier, more open conversations

• Identify available tax concessions while they’re still accessible

• Protect business value and preserve equity for the next generation

• Equip parents and senior leaders to guide the family with clarity

When you understand your options early, more of the wealth you’ve spent decades building stays within the family. It’s one of the most powerful advantages of structured succession planning for family businesses.

How the Succession Planning PLANNING™ framework works

Our framework gives families a clear pathway to prepare for succession. Each step explores a critical element of a successful transition:

P-urpose

Define your long-term vision.

What do we want for our family and business in the future?

L-egacy

Clarify the values, assets and traditions worth protecting.

What do we stand for, and what do we want to pass on?

A-ssessment

Review your current structures and gather the facts.

What is our financial and structural position today?

N-eeds

Identify the financial, lifestyle and fairness needs of family members.

How do we support everyone while protecting harmony?

N-ext generation

Assess future leaders and owners.

Who is ready, capable and willing to step up?

I-mplementation

Develop an action plan based on analysis.

What opportunities and improvements have we identified?

N-avigation

Guide communication and manage emotions.

How can we communicate openly and respectfully throughout?

G-overnance

Create systems for review and accountability.

How do we keep our plan fair, relevant and on track?

This structure keeps the process organised, calm and deeply family-focused.

Why families should use concessions before they lose them

Australia offers some of the most generous concessions for small business and farming families, including Small Business CGT Concessions, Restructure Rollovers and stamp duty exemptions. These can deliver substantial tax savings, but they can also be lost if not identified and applied at the right time.

This makes early preparation extremely valuable. Through the PLANNING™ stage, we confirm which concessions you’re eligible for and quantify the equity preservation available to your family.

For many families, these concessions are one of the most powerful tools in succession planning for family businesses, helping to minimise tax, reduce transaction costs and strengthen the financial position of the next generation.

The message is simple: use them before we lose them. Acting early protects your opportunities and preserves wealth that may otherwise slip away due to timing or legislative changes.

What is involved in the planning process

The Succession Planning PLANNING™ stage typically includes:

1. Discovery meeting – Understanding your goals, family dynamics and current position

2. Information collation – Assets, liabilities, property details, cost bases, trust deeds, ownership records and structure charts

3. Preliminary assessment – Reviewing structures and identifying available concessions

4. Concession and equity analysis – Quantifying potential tax savings and equity preservation

5. Heads of Agreement – A written summary of findings, opportunities and next steps

6. Family consultation – Facilitated conversations to align expectations and prepare for the formal succession phase

This process ensures you have the facts, figures and family alignment you need to move forward with clarity and confidence.

What families can expect from this stage

By the end of the PLANNING™ stage, families typically walk away with:

• A clear summary of business, trust and ownership structures

• A complete asset and liability statement with confirmed cost bases

• Identification of tax concessions and confirmed savings

• Quantified equity preservation opportunities

• A step-by-step roadmap to secure these opportunities

• Greater confidence in leading family conversations

Most importantly, this stage often uncovers significant financial benefits. It’s common for families to identify between $500,000 and $2.5 million in tax savings and equity preservation value that can be lost if the planning process begins too late.

Succession planning for family businesses isn’t just a governance exercise it delivers real, measurable financial value.

How we support you through the process

Our role is to combine technical expertise with genuine family understanding. We help you:

• Gather and interpret information efficiently

• Identify and confirm the concessions available to you

• Understand the equity impact of different succession pathways

• Develop a practical, tailored action plan

• Prepare the Heads of Agreement to guide the formal Succession Deed

We walk alongside you, ensuring you have the clarity, structure and confidence to lead your family into the next stage.

How to get started with succession planning for family businesses

Your first step is a Succession Planning Discovery Session, where we:

• Explore your family’s goals and long-term vision

• Identify the information needed for assessment

• Map out your tailored Succession Planning PLANNING™ roadmap

This session gives you an immediate sense of direction and clarity.

If your family is thinking about succession or even if you're simply unsure where to begin - now is the perfect time to start.

Make an appointment with us today and take the first step toward a smoother, stronger future.

The Future Prosperity Process

Our broader Future Prosperity Process helps families focus on health, wealth and family relationships. We take a holistic approach because succession is about people first, numbers second. Strong relationships create clarity, trust and confidence - and these are essential ingredients for lasting family success.

We help families make decisions today that support harmony and prosperity for generations to come.

Final thoughts on preparing your family for successful succession

Succession Planning PLANNING™ plays a vital role in preparing your family for a smooth and confident transition. By approaching succession proactively, you protect your wealth, strengthen family unity and create long-term clarity for generations to come.

If you’re ready to begin succession planning for your family business, we’re here to guide the way.

Book your Succession Planning Discovery Session today and take the first step toward clarity, confidence and long-term family prosperity.

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Disclaimer   

This article does not constitute financial advice and is for general information only. It does not take into account any individual’s personal objectives, situation or needs, and is not intended as professional advice. Any similarity to an individual’s personal circumstances and the examples provided in this article is purely coincidental. Any person acting upon such information without receiving specific advice, does so entirely at their own risk.   

Authorisation under an Australian Financial Services Licence (AFSL) is not required in the provision of this article and the author plus Future Accounting Group Pty Ltd is not acting in its capacity as an Australian Financial Services Licence holder  

Liability limited by a scheme approved under professional standards legislation. 

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