Guide
Business Succession Planning Checklist
Ensure your business survives and thrives after you step away. A complete succession planning checklist for business owners.
Phase 1: Entity & ownership structure
Your succession plan starts with clarity on who owns what and how the business is structured.
- Document all entity structures (operating companies, holding companies, partnerships)
- Record ownership percentages and equity distribution across all entities
- Review operating agreements and partnership agreements for transfer restrictions
- Confirm shareholder registry accuracy and update if needed
- Document how each entity is taxed (S-corp, C-corp, LLC, partnership)
Phase 2: Buy-sell agreement
A buy-sell agreement is the most important succession document you will sign. It governs how ownership transfers when an owner leaves, dies, or becomes disabled.
- Cross-purchase agreement (remaining owners buy the departing owner's share)
- Redemption agreement (the company buys back the departing owner's share)
- Hybrid agreement with right of first refusal
- Valuation method defined (formula, appraisal, book value)
- Funding mechanism identified (life insurance, sinking fund, seller financing)
- Key person disability insurance to fund buyout in case of incapacity
Phase 3: Key person & continuity planning
Beyond ownership, your successors need to know how the business actually runs.
- Identify key employees and create retention/transition plans
- Document operational workflows and critical vendor relationships
- Record all business insurance policies (liability, property, key person)
- Create an advisor directory for the business (attorney, accountant, banker)
- Document digital infrastructure (domain registrations, hosting, SaaS accounts)
- Build a continuity archive that successors can access in an emergency
Free Resource
Start with the free checklist
Use the Free Estate Continuity Checklist to organize what exists, where it is located, and who your family or advisors should contact first.
Next Step
Map Your Business Continuity
Organize entity structures, key documents, and advisor contacts for your successors.