KPMG Puts Family Business Succession Back on the Agenda

KPMG has published new guidance on succession planning in family businesses, aiming at the single point where most family firms fail: the handover from one generation to the next.

The advisory firm released the material on kpmg.com. It targets owners, boards and family councils who must move leadership and ownership without breaking the company. The publication adds to a growing body of KPMG research on family-owned enterprises, a sector the firm tracks across its global network.

Why does succession planning matter now?

Family businesses make up a large share of private companies worldwide, and many face a generational transition in the current decade. KPMG's guidance treats succession as a process, not an event. The firm argues owners should start years before the actual transfer, because rushed handovers tend to destroy value.

The publication covers the standard components of a succession plan:

• choosing and preparing the next leader, whether family or non-family;
• separating ownership questions from management questions;
• setting up family governance, such as councils and shareholder agreements;
• planning the tax and legal structure of the transfer.

What does the guidance actually recommend?

KPMG's core message is preparation over improvisation. The firm advises owners to document roles, timelines and decision rights before a transition becomes urgent. It also stresses communication inside the family, since unclear expectations among heirs are a common source of conflict.

The guidance fits KPMG's broader family business practice, which combines tax, audit and advisory services for privately held firms. That practice positions succession as a board-level topic, on par with strategy and risk, rather than a private family matter.

What is the so-what for owners?

For family firms, the publication is a checklist, not a legal document. Owners can use it to test whether their own plan covers leadership, ownership and governance in one coherent structure. For advisers, it signals that KPMG sees demand for transition services rising as founder-led companies age.

The guidance is available on kpmg.com. Family business owners who lack a documented plan now have a template to start one before the market forces the issue.