Leading professionals across legal, financial, and corporate sectors have raised concerns over the growing risks facing Nigerian businesses due to poor succession planning, warning that cultural beliefs, lack of structure, and inadequate preparation continue to endanger generational wealth and organisational structure.

Managing Partner, Streamsowers and Köhn, Mr Tamuno Atekebo, said the importance of statutory third-party insurance and structured succession planning is often underestimated. He noted that many business owners fail to make adequate arrangements for the future, leaving their enterprises vulnerable to disputes and emotional turmoil after their passing.

Atekebo stressed that individuals with significant stakes in companies must take deliberate steps to prevent complications, adding that misconceptions about succession planning and insurance persist within families and advisory circles.

He explained that tools such as trusts and wills are essential for effective asset management and transfer.

He further emphasised that succession decisions should not be based solely on birth order but on competence, noting that leadership continuity depends on capability rather than tradition. According to him, trusts can offer greater privacy and, in some cases, more effective control than wills.

He also highlighted the need for businesses to align succession strategies with estate planning, adding that strong corporate governance structures improve stability and enhance market perception. Atekebo urged companies to ensure employees regularly update beneficiary nominations to prevent future disputes, describing succession planning as a legal process that requires careful and deliberate consideration.

Chairman of the Nigeria-South Africa Chamber of Commerce, Dr Ije Jidenma, echoed similar concerns, describing succession as critical to sustainability and long-term success. She observed that while many Nigerian organisations aspire to endure for generations, leadership transitions are often poorly managed, putting both legacy and wealth at risk.