“Across Asia, the most prepared families are those that make succession a shared strategic priority, well before a transaction becomes relevant. Involving the next generation early and agreeing on the family’s long-term goals can help preserve both the wealth and the entrepreneurial spirit that built it,” Jimmy Lee, member of the Global Wealth Management Committee and Region head Asia, said.

The report examines how families navigate the sale or transfer of a family business, from preparing for a transition through to life beyond the exit. While family businesses remain the principal source of wealth for UHNW families, relatively few are fully prepared for the point at which ownership changes hands.

Only 2.3 per cent of ultra-high net worth business-owning families are fully prepared for a sale or transfer, while a lack of family alignment emerges as the leading barrier to readiness, the report reveals. 

The report also shows that 29.5 per cent of respondents are not ready to transfer, while 56.3 per cent are only somewhat prepared. Only 22.6 per cent of the next generation are considered ready and fully equipped to take over the family business.

Eighty per cent of respondents cite a lack of family alignment on a sale as limiting readiness, ahead of 55.4 per cent citing tax considerations. Sixty per cent identify emotional attachment as the most common source of misalignment when families consider an exit, the survey shows.

In Asia, differing valuation expectations are the most frequently cited source of family misalignment during exit decisions (61.5 per cent), followed by disagreement about the business’ future (58.0 per cent). Emotional attachment is cited by 44.8 per cent in Asia, compared with 60 per cent globally, where it ranks first.

Seventy nine per cent of respondents also identify preserving joint family wealth as a leading priority following an exit. Family alignment is key, the report shows. On post-exit investment priorities, Asia and the Middle East place greater emphasis on long-term growth, while capital preservation ranks highest in Europe and Latin America.

Geopolitical diversification is also an 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 trying to manage an increasingly complex external environment.

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