Succession planning is the most significant issue that faces a family business and is critical to ensure successful transition from one generation to the next. This article examines the advantages and disadvantages of a well laid out succession plan and the role it plays in the growth of the family firm. It also illustrates how the next generation of management can be selected for their role and what can be done to prepare them to take the helm.

Family businesses represent the most lasting type of business. As Professor Willian O'Hara, an expert in family business, says in one of his books: "Before the multinational corporation, there was family business. Before the Industrial Revolution, there was family business. Before the enlightenment of Greece and the empire of Rome, there was family business."

Family businesses have existed since times immemorial. They have contributed to the development of the world economy and created immense wealth for the investors. Succession issues have always plagued family businesses lack of well laid out succession plans have led to the decline and demise of many reputed family business firms. This article looks into the succession issues of family businesses and illustrates how a well laid to succession plan can lead to family business continuity. According to Paul Karofsky:

"Implementing a successful succession plan is the ultimate reward for a family business CEO. For, successful perpetuation of family business is the closest thing that you will ever come to immortality."

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