Huge changes to Business Property Relief (BPR) are looming – and if your succession plan is more of a vague idea than a documented strategy, you could be heading for trouble. Tax trouble. Family trouble. Legacy trouble.
To help you steer clear of any uncertain waters, we’ve pulled together the top 5 things every business owner should be thinking about in your succession planning below.
And if you’re looking for a deeper dive into the BPR changes and their impacts, head here.
Picking the Right Successor (It’s Not Always Your Eldest)
The dilemma: Family member? Internal right-hand? External hotshot?
What’s at stake: Picking the wrong person could stall the business. Or worse, sink it. You need someone who can win hearts, steady the ship and drive the next chapter – with your values, but their own vision.
Our take: It’s not about who deserves it. It’s about who’s capable.
Keep the Wheels Turning
The dilemma: How do you pass the torch without dropping it?
What’s at stake: Your clients, team, suppliers and investors don’t care who’s in charge – until things go wobbly. And they can go wobbly fast if there’s no continuity plan.
Our take: Start early. Communicate often. Transition gradually. Stability is key.
Family, Ownership & The Politics No One Talks About
The dilemma: Keeping peace around the dinner table and the boardroom table.
What’s at stake: Succession isn’t just about assets. It’s about relationships. One misstep can create long-lasting resentment or ownership deadlock.
Our take: Fair ≠ Equal. Get clear on roles, shares and expectations – with total transparency and honesty.
Getting Tax-Efficient Today
The dilemma: Transfer the business, but don’t get punished by tax slip-ups.
What’s at stake: If BPR becomes tighter, your Inheritance Tax (IHT) bill could skyrocket. Plus, what about your retirement income? Or the cash needed for buyouts and share transfers?
Our take: Tax planning isn’t a nice-to-have. It’s critical. Do it now – not later.
The “We’ll Do It Later” Trap
The dilemma: You’re too busy running the business to think about what happens when you stop.
What’s at stake: If something happens tomorrow – illness, death, unexpected exit – and there’s no plan, it could cause chaos on all fronts.
Our take: Succession planning is the best insurance policy your business will ever have.
IN SHORT: YOU NEED A PLAN. AND SOON.
Whether you’re thinking of passing the baton to your kids, your leadership team, or someone you haven’t met yet – the time to get your house in order is now.
Team CP are ready and waiting.
We have an in-house team who are across the detail – from tax through to long-term financial planning.
