It is possible that your leadership style differs from that of your successor. Your employees are used to your style. If your successor's style is very autocratic and uncaring, your company is going to experience problems. This will give everyone time to get to know your successor and allow the successor to work with business associates and bankers, and to get acquainted with customers. The actual transfer of control to the successor occurs when you retire.
Research indicates that transitions are smoothest when They are timely.
They are final and do not include the entrepreneur's participation in daily activities. The entrepreneur is publicly committed to an orderly succession plan. The entrepreneur has articulated and supervised the formulation of company principles regarding management accountability, policies, objectives and strategies. The transition can be effected gradually by relinquishing more and more responsibility to the successor. One expert advises the entrepreneur to take a number of planned absences before actually relinquishing control.