Succession refers to the process of transferring the Assets, rights, responsibilities, and legal interests of a deceased person to their Surviving Family, Heirs, Beneficiaries, or other designated individuals as outlined in their Last Will and Testament and/or Estate Plan.
[Succession planning involves the orderly transition of ownership, management, and control of the deceased's Estate and personal affairs.
Proper succession planning helps to minimize potential disputes and ensures the efficient distribution of assets and management of affairs following the loss of a loved one.
Key aspects of successions and their planning include:
Asset Transfer: The transfer of assets owned by the deceased person, including real estate, financial accounts, personal property, businesses, and investments, to designated beneficiaries or heirs.
Legal Rights and Responsibilities: The shift of legal rights and responsibilities from the deceased to people identified to manage and oversee the Estate, such as Executors or Administrators appointed in the deceased's will or by a Probate Court.
Business Succession: In the case of the deceased owning a business, it involves the transfer of ownership, management, and control of the business to the specified persons, often business partners or family members, to ensure continuity of the business.
Financial Accounts and Investments: Assigning financial accounts, investments, insurance policies, and other financial instruments to designated beneficiaries, ensuring they receive benefits.
Legal Process: Following legal and administrative procedures, including Probate or other legal processes, to validate the deceased individual's will, distribute assets, settle debts, and fulfill other legal requirements.
Estate Planning: Reflects the effectiveness of the deceased individual's estate planning, including wills, Trusts, and other legal documents, in facilitating a smooth and organized succession process.