Only 2.3% of Ultra-Wealthy Families Fully Prepared for Business Succession
A new Julius Baer and EY report reveals that only 2.3% of ultra-wealthy families are fully prepared to sell or transfer their business, hindered mostly by emotional ties and family disagreements.
Only 2.3% of ultra-high-net-worth families are fully prepared to sell their business or transfer ownership to the next generation, according to the 2026 Family Index published by Swiss wealth management group Julius Baer in partnership with EY.
The index reveals that 29.5% of families are entirely unprepared for a ownership transition, while 56.3% are only partially prepared. Even among families whose business is the primary source of their wealth, long-term succession planning often lags behind strategic necessity.
Family Disputes and Emotional Ties
Financial considerations are not the primary obstacle delaying succession planning. 80% of respondents cited disagreements among family members regarding the sale of the business as a major bottleneck, compared to 55.4% who pointed to tax considerations.
The prominent barrier is emotional rather than financial: 60.6% identified emotional attachment to the enterprise as the most common source of friction, alongside divergent views on its future valuation.
The Role of the Next Generation
In 45.6% of families, potential heirs are consulted about the sale without being granted voting rights. Only 18.5% of families include the next generation as equal decision-makers in the process.
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22.6% of the next generation are currently deemed ready and qualified to manage the business.
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65.9% are expected to reach readiness in the future.
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11.6% have no interest in taking over executive management.
Post-Sale Wealth Preservation
Following a sale, 79.4% of respondents prioritize preserving shared family capital. Families must transition from operating an active enterprise to managing a diversified investment portfolio, requiring new governance mechanisms and generational wealth planning tools.
