By David Carratt, CFP® | Director of Advisor Growth and Engagement
If you’re like many advisors, you have spent years building your business by serving clients, generating income, and creating something truly valuable. But when it comes to thinking about retirement or stepping away, the idea of succession planning can feel overwhelming. It’s often seen as complicated, time-consuming, and easy to put off for “someday.”
Here is the good news: it doesn’t have to be that way.
Putting a succession plan in place is one of the most effective ways to reduce stress about the future. Whether you are planning to retire in five years or twenty, having a plan ensures that your hard work continues to pay off and that you are the one in control of what happens next.
A well-thought-out succession plan helps you:
- Maximize the value of your business
- Transition smoothly on your own terms
- Provide clarity and continuity for your clients and team
- Sleep better at night knowing your future is secure
The sooner you start, the more options and leverage you’ll have. And with the right guidance and a clear approach, building your plan can feel like a natural extension of the success you’ve already created.
Succession planning, when approached early and on your own terms, can be one of the most empowering steps you take in your career. Here are a few perspectives that might help.
1. Why does succession planning often feel stressful or intimidating for advisors?
There are a few reasons. First, succession touches on both professional identity and personal legacy. Two emotionally charged topics. For many advisors, their practice isn’t just a business; it’s the result of years (or decades) of relationships, hard work, and personal investment.
Second, the process can seem vague or overwhelming. With questions like Where do I start?, Who can I trust with my clients?, or Will I get fair value for my business?, it’s easy to feel stuck before you begin.
Finally, there’s a myth that succession is only something you think about when you’re ready to retire. In reality, succession is about preparing for the future, on your terms.
2. What does “planning on your terms” really mean, and why is it empowering?
“Planning on your terms” means owning the process and designing a future that works for you, not reacting to external pressures or timelines.
It means:
- Choosing when and how to transition—whether that’s five years from now or fifteen.
- Identifying successors who align with your values and will care for your clients the way you would.
- Creating flexibility—so you can scale back, stay involved, or step away completely, depending on your goals.
This kind of clarity puts you in the driver’s seat, letting you shape your future instead of reacting to it.
3. What early, actionable steps can advisors take—no matter where they are in their career?
Regardless of where you are in your journey, here are a few low-pressure steps that can help you get started:
- Take inventory: Reflect on what you want your next chapter to look like. Do you want to fully exit, mentor a successor, or stay on part-time?
- Document your process: Start outlining key systems, client segments, and operational workflows. This builds business value and makes succession easier down the road.
- Start conversations: Talk with peers, potential successors, or your firm’s internal support team. You don’t need all the answers—just start exploring.
- Think about talent: Are there junior advisors you could begin mentoring now? Investing in internal talent is a great way to build continuity.
- Evaluate your business: Consider getting a valuation to better understand your firm’s value and identify areas for growth.
These steps aren’t about locking into a decision, they are about giving yourself options.
4. Any real-world examples that show the benefit of early planning?
One advisor we worked with began thinking about succession a full decade before retirement. She wasn’t in a rush, but she knew she wanted to leave on her own terms. By mentoring a younger advisor, gradually transitioning client relationships, and building in flexibility, she created a smooth, two-year glide path into retirement.
Contrast that to another advisor who had to exit the business quickly due to an unexpected health event. Without a plan in place, the transition was rushed. His clients, lacking communication and a familiar point of contact, lost confidence and looked elsewhere. With no successor groomed, the practice’s value diminished, impacting the advisor’s family and legacy.
Early planning doesn’t just protect your legacy, it protects your clients, your staff, and your peace of mind.
5. If an advisor took away just one thing from this article, what would you want it to be?
Succession is not an event, it is a process. Starting early gives you more options, more control, and more peace of mind. Planning doesn’t mean stepping away. It means stepping into the driver’s seat and designing the future you want.
Final Thoughts
Succession planning is a sign of leadership and strength, not a signal that you’re stepping back.
Succession on your term’s means protecting everything you have built, serving your clients with continuity and care, and opening the door to whatever is next for you whether that is a new chapter, more free time, or simply the comfort of knowing your legacy is secure.
Not sure where to begin? The Private Advisor Group Advisor Growth and Engagement team is here to help you explore what succession planning could look like for your unique goals.
