Research studies indicate that nearly 70 percent of estate transitions “fail” where failure is defined as the second generation involuntarily losing control of the family business or a significant part of the family’s wealth. More importantly, several of these research studies illustrated that the primary cause of failure in wealth transitions is a high degree of splintering, divisiveness, and lack of communication within the family.

How successful will your family’s transition plan be?

Let's take a quiz to find out…

1. We have created a Vision Statement that articulates future hopes and desires for our family.    Yes     No

2. We have defined core values and principles to guide, unify, and strengthen our family across generations.    Yes     No

3. Our family has clearly defined results for using resources.    Yes     No

4. Each family member is aligned around our vision, values and desired results.    Yes     No

5. We have prepared our family heirs to wisely manage resources by having them participate in handling family assets.    Yes     No

6. We have established roles and responsibilities that family members will take to achieve our family legacy.    Yes     No

7. We have a plan to develop family members to be ready to assume such roles.    Yes     No

8. We distribute family assets based on an heir’s readiness, not their age.    Yes     No

9. We have established a pattern of open and respectful dialogue in regular family meetings.    Yes     No

10. Family members are rewarded to participate in activities that strengthen our family’s purpose and values.     Yes     No


7-10    You have the characteristics of families who effectively prepare their family to receive wealth. There is a very high likelihood that your family will be among the small percentage of families who successfully transition wealth to the next generation.

4-6    Investing more time and energy in creating a family culture to preserve your legacy will dramatically increase the likelihood of a successful transition.

0-3    Your family’s resources are at risk. There is a low probability that your transition plan will work.