The substantial time required to find and groom an internal successor may present challenges to firm leaders planning to exit in six years or less, Fidelity says. Only half of firms say they are satisfied with the talent they have in place to take over, Canter says.

The study singled out 60 firms that it defines as high performing because of their growth, productivity or profitability. These firms seem to be in better shape for transitioning than other firms.

Fifty-two percent of the high-performing firms have succession plans ready for implementation compared with 40 percent of moderately performing firms. More high-performing firms (23 percent) have hired, identified or begun developing potential successors in the past three years than other firms (15 percent).

“As firm leaders sit down to think about their business plan for 2016, they should also consider what their five-year, 10-year, even 20-year, plan is for their business. What will their legacy be?” asks Canter. “They can look at the succession plans their peers are crafting for insights on what they need to do and steps they need to take now, not later.”

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