Business Succession Planning

Last verified: 29 August 2025 (England & Wales)

Quick-read summary

Many small business owners spend years building their company, but never stop to ask: what happens if I can’t carry on?

Without a plan, a business can grind to a halt if the owner dies or loses capacity. Bank accounts may be frozen, contracts cancelled, and families left without income.

Business succession planning doesn’t have to be complicated. By combining your Will, a Business Trust, and (during your lifetime) a Business Lasting Power of Attorney (BLPA), you can keep your business safe, protect your family, and avoid disputes.👉 For a deeper look at the legal tools available, see our complete Business Succession Planning in a Will guide and our Business Succession Planning with LPAs guide.

Practical checklist

Think about succession planning if:

• ✅ You own or co-own a company
• ✅ You want your family to inherit your business
• ✅ Staff rely on you to make decisions
• ✅ You want to avoid disputes between relatives and business partners

The three main tools are:

1. Your Will – ensures business assets pass smoothly.
2. Business Trusts – can protect shares for the family and help with tax.
3. Business LPAs – keep the business running if you lose capacity.

How this works in real life

Mr Davis, a sole trader plumber

When Mr Davis fell ill, he had no Will or BLPA. His staff went unpaid, and contracts were cancelled. By the time his family gained legal authority, the business had collapsed.

Mrs Cole, a consultancy owner

Mrs Cole planned. Her Will matched her company’s Articles, and she made a BLPA. When she later lost capacity, her attorney continued to run the business. On her death, the company was sold at full value, providing security for her family.

FAQs

1. Do I need a separate Will for my business?

No. A Will can cover both personal and business assets — but it must clearly address your business interests.

2. What is a Business LPA?

A Business Lasting Power of Attorney allows you to appoint trusted individuals to make business decisions on your behalf if you are unable to do so.

3. Can business assets get inheritance tax relief?

Yes — many trading businesses qualify for Business Relief, which can reduce inheritance tax by up to 100%.

Next steps

Business succession planning protects your company, your family, and your staff. The right mix of a Will, Business Trust, and BLPA ensures your hard work isn’t wasted.

Fern Wills & LPAs can help you:

• Review your Will with business clauses
• Advise on Business Trusts
• Draft a BLPA for continuity

📞 Contact us today for guidance tailored to your business.