Please forgive us for being academic, but in order to fully understand business succession, we are going to define a few terms.
First, an often confused first cousin, business continuity or exit planning:
As the term describes, business continuity is the continued existence of a business, as in the business continues. An exit planning is specific to an owner exiting the business. Business continuity and exit planning addresses the mechanics of the transactional transfer of a business. Business continuity/exit planning can be achieved if the owner exits the business and transfers it to Junior/Sis or sells it to John Doe down the road without any consideration as to whether Junior/Sis or John Doe has any earthly idea as to how to own or operate the business or is a compatible leader in respect to the business culture.
Business continuity planning can involve any number of independent projects including but not limited to: