Julius Baer finds families unprepared for business succession

Julius Baer’s Family Barometer 2026, produced with EY, found that only 2.3% of ultra-high-net-worth (UHNW) business-owning families are fully prepared for a sale or transfer, with family alignment the leading barrier.

This year’s Family Barometer by Julius Baer, now in its sixth edition examines how families prepare for ownership transitions and manage wealth after an exit, finding that succession requires attention to family governance, wealth planning and next-generation readiness.

Key findings include:

• Only 2.3% of UHNW business-owning families are considered fully ready for a sale or transfer.
• 29.5% are not ready to transfer, while 56.3% are only ‘somewhat prepared’.
• Only 22.6% of the next generation are considered ready and fully equipped to take over the family business.
• 80% cite a ‘lack of family alignment’ on a sale as limiting readiness, ahead of 55.4% citing tax considerations.
• 60.6% identify ‘emotional attachment’ as the most common source of misalignment when families consider an exit.
• 79.4% identify ‘preserving joint family wealth’ as a leading priority following an exit.

Family alignment is key

Once the sale of a business is on the agenda, the Family Barometer report shows that, for families, the preparations involve far more than just financial and technical aspects.

Lack of family alignment on a sale is the most frequently cited factor limiting sale readiness, ahead of tax considerations, governance, and legal structures. Looking at what can drive misalignment, ‘emotional attachment’ to the business emerges as the most common source of disagreement when families consider an exit, followed by different views on the future of the business and valuation expectations.

The involvement of the next generation also remains limited. Whilst only 22.6% are considered ready and fully equipped to take over the family business, 45.6% families consult the next generation on a potential sale without giving them a vote, only 18.5% involve them actively in discussions with an equal say.

Preparing for life after the business

The need for preparation does not end when a transaction is completed. Following an exit, ‘preserving joint family wealth’ is the leading priority for 79.4% of respondents, followed by clarifying family roles and establishing a new sense of purpose.

The report also shows that families often need to adapt from managing a concentrated operating asset to stewarding liquid and diversified wealth. ‘Wealth planning’, including succession, emerges as the area where families most frequently require additional expertise after an exit, while ‘investment vehicles’ and ‘single-family offices’ are among the most common structures considered following a sale. The findings also point to notable regional differences: ‘preserving wealth’ emerges as the dominant priority in Europe and Latin America, while families in Asia and the Middle East place greater weight on ‘long-term growth and expansion’.

Broader priorities for UHNW families

‘Succession planning’ continues to remain the leading family priority globally, which is in line with last year’s findings. This is followed by ‘building family legacy’, and then ‘individual and family growth opportunities’.

‘Geopolitical diversification’ is the leading investment priority, ahead of ‘inflation protection’ and ‘real estate investing’. ‘Taxation’, ‘intergenerational wealth transfer’, and ‘political stability’ remain the leading societal concerns, highlighting the importance families place on preserving wealth across generations while navigating an increasingly complex external environment.

Re-disseminated by Wealth and Society