Succession planning might feel like a distant priority, but for mortgage brokers looking to safeguard their business and legacy, starting early is crucial. Whether you plan to retire, shift focus or eventually sell your brokerage, a well-thought-out plan protects your clients, income and reputation.
What is succession planning?
In short, it’s about mapping out how your business will transition when you’re no longer at the helm. This might mean selling outright, passing ownership to family or trusted staff or merging with another brokerage. The right path depends on your goals, timeline and business structure.
Common succession pathways
- Selling your brokerage outright: This clean exit requires a strong handover process and is typically based on your trail book or business performance.
- Passing the business to someone you know: Transferring ownership to family or key employees can help preserve your legacy and client continuity but demands time for training and mentoring.
- Merging or selling part of the business: Partial sales or mergers may allow gradual stepping back while retaining some income and supporting growth.
AFG’s Broker Investments program is a practical example, helping brokers sell minority stakes to access capital and strategic support without exiting fully.
Start with the end in mind
Define your post-exit involvement and income expectations early. Consider who your likely successor is and whether your business has clear systems and client retention strategies in place. As AFG Partnership Manager Ian Cornwall advises, “Set your business up to the point where you’re irrelevant – that’s when it’s valuable.”
Plan ahead
Succession takes years, not months. By starting now, you give yourself the best chance of a smooth transition that preserves what you’ve worked so hard to build.
Safeguard your legacy
Succession planning is one of the most valuable moves you can make as a broker, but it’s just one part of building a business that lasts. For practical guidance on preparing your brokerage for long-term success and a smooth transition
Please note we do not provide tax, legal or accounting advice. Any information contained in this article is of a general nature only and does not take into account the objectives, financial situation or need of any particular person and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. We suggest you consult your own tax, legal and accounting advisers before engaging in or considering the appropriateness of any transaction.
