What should an accounting firm succession plan include?

The exit you are working towards and roughly when, a clear picture of the firm today, everything that depends on you, who could take over and what they need, how clients will move, and an emergency plan for if you cannot work. The emergency plan is the part most small firms are missing.

When should I start succession planning?

Years before you want to leave. An internal successor needs time with clients, and a buyer pays more for a firm that does not depend on its owner. The emergency plan should be written now, whatever your timeline. Building a firm you can sell or step away from covers what to change first.

What are the options for leaving an accounting firm?

An internal successor buying in over time, a merger, a sale to a larger firm or group, selling part of the client book, or winding down. The template compares them by what suits each and what to watch for. The partner buy-in guide covers the internal route, and how to buy an accounting firm shows what a buyer looks for.

How do I know what my firm is worth?

This template does not value your firm. The free valuation estimate on The Firm shows which factors move the value, and an adviser who knows practice sales can give you a figure for your market.

Free template

Succession plan template for accounting firms

Most small-firm owners have a succession plan in their head and nowhere else. This template puts it on paper in an afternoon: which exit you are working towards and when, what depends on you today, who could take over, how clients would move, and what happens if you are suddenly unable to work. Start with the emergency plan; it is the part most firms are missing.

Updated 10 November 2026 · Editable Word document (.docx) · Free with a firm profile

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How to use it

How to use this template

Write the emergency plan first

Section 7. Who can sign, access systems and talk to clients if you are off for a month, or for good. It is the part you need soonest and the easiest to finish. When life collides with practice shows why it matters.
Pick a direction, not a date

Compare the options in section 2 and say which you are working towards. The date can move; the direction decides what you do this year. What buyers will pay for when you sell your firm covers the sale route.
Be honest about what depends on you

Section 4 lists the relationships, skills and logins only you hold. Each one is a risk to a buyer, a successor and your clients.
Get the numbers ready

Section 8 lists what a buyer or successor will ask for. The free valuation estimate at thefirm.media/firms/valuation shows the factors that move the value.
Review it every year

And share the emergency plan with the people named in it.

The template

[Firm name] succession plan

Replace everything in [square brackets].

1. What I want

Question	Answer
When would I like to step back, and how far?	[e.g. stop client work in a set number of years; stay on part-time for a handover period]
What matters most: price, the team, the clients, the name, speed?	[Rank them]
What will I do afterwards, and what income do I need from the firm?	[Your own numbers, with your financial adviser]
Who else has a say (partners, family, key staff)?	[Names]

2. The options

Option	Suits a firm where	Watch for	Fits us?
Internal successor (staff buy in over time)	A senior person wants to own the firm and clients already deal with them	Funding the purchase; a long handover; whether they really want the risk	Blank
Merge with a firm of similar size	You want to step back gradually and share costs	Culture, systems and who decides	Blank
Sell to a larger firm or group	Clients and systems are documented and do not depend on you	Earn-outs and retention terms that keep you tied in	Blank
Sell part of the client book	Some services or clients no longer fit	Client consent and confidentiality when records move	Blank
Wind down	There is no buyer and the book is small	Records retention, client handover and your obligations to regulators	Blank

3. The firm today

Fact	Now
Services and share of revenue from each	[Service: share]
Number of clients, and the share of revenue from the largest ten	[Your figures]
Recurring fees (monthly or annual packages) as a share of revenue	[Your figure]
Team: roles, tenure, who could run a client portfolio	[Names and roles]
Systems: ledger, practice management, documents, AI tools	[List]
Lease, contracts and subscriptions in your name	[List and end dates]

4. What depends on me

Use client codes, not names, if this plan will be shared.

What	Only I hold it today because	Who could hold it	By when
Relationship with [client code]	Blank	Blank	Blank
Specialist knowledge: [area]	Blank	Blank	Blank
Registration, licence or signing authority: [type]	Blank	Blank	Blank
Admin logins and recovery codes: [systems]	Blank	Blank	Blank
Referral relationships: [source]	Blank	Blank	Blank

5. Successor plan

Person	Role they would take	Ready now, in a year, or later?	What they need (experience, qualification, client time)
[Name]	Blank	Blank	Blank
[Name]	Blank	Blank	Blank

If there is no internal successor, write that down. It points you to a merger or sale, and to getting the firm ready for an outside buyer.

6. Client transition

Each top client has met the person who will look after them, at least [number] times, before any announcement.
Engagement letters let the firm (not just me) act, and say how records are handled if the firm changes hands.
Client files, permanent files and procedures are complete enough for someone else to pick up.
The announcement letter is drafted, with who to contact from when.
Regulator and professional body notifications are listed with their deadlines.

7. If I cannot work tomorrow

Item	Detail
Who steps in for client work	[Name, firm, phone] and the agreement with them: [where it is filed]
Who can access the bank, payroll and software	[Names; where the access details are kept securely]
Who tells clients, staff, the insurer and the regulator	[Name]
Deadlines in the next 90 days	[Where the list lives in the practice management system]
Insurance: professional indemnity, run-off cover, income protection, key person	[Policies and contacts]
Where my will, powers of attorney and the partnership or shareholder agreement are	[Location]

8. The numbers a buyer or successor will ask for

Three years of revenue by service and by client.
Recurring fees, client numbers and client tenure.
Work in progress, debtors and write-offs.
Team costs, including what the owner would cost to replace.
Profit after a market wage for the owner’s role.
Any clients who could leave with a departing person, and any restraint terms.

This plan does not value your firm. Talk to your accountant, lawyer and a broker or adviser who knows practice sales before you set a price or sign anything.

This template is a starting point, not legal advice. Your obligations depend on where you practise, your professional body and your clients; take advice on anything you are unsure of.

Common questions

Frequently asked questions

What should an accounting firm succession plan include?: The exit you are working towards and roughly when, a clear picture of the firm today, everything that depends on you, who could take over and what they need, how clients will move, and an emergency plan for if you cannot work. The emergency plan is the part most small firms are missing.
When should I start succession planning?: Years before you want to leave. An internal successor needs time with clients, and a buyer pays more for a firm that does not depend on its owner. The emergency plan should be written now, whatever your timeline. Building a firm you can sell or step away from covers what to change first.
What are the options for leaving an accounting firm?: An internal successor buying in over time, a merger, a sale to a larger firm or group, selling part of the client book, or winding down. The template compares them by what suits each and what to watch for. The partner buy-in guide covers the internal route, and how to buy an accounting firm shows what a buyer looks for.
How do I know what my firm is worth?: This template does not value your firm. The free valuation estimate on The Firm shows which factors move the value, and an adviser who knows practice sales can give you a figure for your market.

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