Generational succession in family businesses: only 18.5% of the next generation has an equal vote in the decision to sell

Succession is the only family-related topic that ranks among the top concerns in all four regions covered by Julius Baer and EY’s Family Barometer 2026: it ranks first in Europe, Asia, the Middle East and Latin America, and across all professional profiles surveyed. However, data on the role the next generation actually plays in decision-making show that there is more discussion than participation.

Consulted, but without a vote

Advisors were asked to what extent current owners consult the next generation about selling the family business:

• Actively involved and has an equal vote: 18.5%.
• Consulted, but has no vote: 45.6%.
• Limited discussions: 31.4%.
• Not consulted: 4.4%.

The report considers the gap between a family that has genuinely worked through its succession and one that has merely postponed the conversation to be one of the best predictors of readiness for an exit. Hendrik Kuhl, Head of Wealth Planning for Germany at Julius Baer, says he has seen cases where parents regretted not finding out sooner that their children did not want to take over the company: they would have sold it five or ten years earlier.

A generation that is not yet ready

Among families that are not ready for an exit, 65.9% of advisors say the next generation is not yet prepared to take over the business, although it will be ready later on. A further 11.6% say it is not interested, while only 22.6% consider it ready and fully equipped. The report sums this up as a two-way gap: many businesses have not completed their preparations in terms of governance, ownership and structure, while successors are still developing the necessary experience and perspective.

After the sale, involvement remains low

The pattern repeats in the post-sale strategy. Only 12.3% of advisers say the next generation is actively involved with an equal vote; 38.5% say they are consulted but have no vote, 44.6% say discussions are limited, and 4.7% say they are not consulted. Active participation varies by region:

• Latin America: 17.0%.
• Middle East: 16.7%.
• Europe: 13.0%.
• Asia: 8.4%, the lowest level, with an additional 8.4% of families not consulting successors at all.

Christos Anagnostopoulos of Julius Baer in Asia notes that many families in the region are facing their first major succession or liquidity event, and that decisions about who will take over and what alternatives are available are being made at the same time.

Preparing human capital

María Eugenia Mosquera, Head of Wealth Planning Key Clients & Family Office Services at Julius Baer, stresses that preparing the next generation for wealth is just as important as preparing wealth for the next generation, and that education, gradual involvement, and guidance from previous generations are among the best investments a family can make. The report adds that, among families that achieve alignment, a comprehensive family education program is the least frequently cited factor (7.9%), behind external advisers (39.5%), family governance structures (36.4%), and succession planning tools (16.2%).

It is worth remembering that this reflects advisers’ perceptions and that the document is marketing material from Julius Baer. Even so, the central finding is hard to ignore: in most cases, the person who will inherit the business or wealth listens, but does not decide.