Selling a business can prompt practical questions for founders and families. These include how to manage new liquidity, plan for succession, review family governance and decide what role the business should play in long-term wealth planning if they choose to retain partial ownership. James Whittaker, Head of UK and Nordics, shares his insights and explains how a private bank could potentially support entrepreneurs on the next phase of their journey.
For many founders, the decision to sell their company does not always come easily. It is both a commercial milestone and a personal one, but it does not necessarily bring an end to their entrepreneurial journey. In some cases, selling a business or opting for a partial exit can open a new phase, in which the founder, family and management team may still play a meaningful role in shaping the enterprise’s future.
A sale or partial exit can also change the nature of the founder’s personal and family wealth. Capital that was previously concentrated in the business may become more liquid. If the founder retains a stake in the company, the family may also remain exposed to its future performance. Together, these issues can raise questions about diversification, risk, succession and long-term wealth planning.
How selling a business can reshape founder wealth
In one recent situation involving a large, privately held infrastructure services business, Deutsche Bank Private Bank acted as a touch point for the family as they considered the wealth implications of a significant ownership transition.
Creating wealth through entrepreneurship is a remarkable achievement. But preserving that wealth, structuring it effectively and ensuring it supports a family's objectives over the long term can be challenging. That’s where careful planning becomes increasingly important.
James Whittaker
Head of Deutsche Bank Private Bank for the UK and Nordics
The corporate transaction was led by Deutsche Bank Investment Bank, which sought to broaden the buyer universe for the company. After the sale, the family was able to retain a significant interest in the firm. The example shows how different parts of a banking group may be involved at different points, while the wealth management discussion remains focused on the founder and family’s longer-term position.
For the client, this approach facilitated engagement with investors that had relevant sector experience and the potential ability to support the company’s next stage of expansion while respecting its family-owned heritage.
Beyond the transaction, a key consideration for founders is what comes after a sale: how new liquidity may be managed, how any retained stake or continued involvement may affect personal risk, and how family members can be aligned around future priorities.
For family-owned businesses, the balance between continuity and change can be particularly sensitive. A new strategic partner may support future growth in a partial exit scenario, but founders might remain focused on preserving the culture, reputation and relationships that helped build the company in the first place. For many entrepreneurs, their business is also a deeply personal undertaking, shaped by years of commitment.
Why founder wealth planning should start before selling their business
Founders can be understandably focused on the commercial outcome of a transaction: valuation, partner selection, governance rights and future growth plans if they decide to retain a stake in the enterprise. Yet the personal and family implications often require equal attention, ideally before the transaction completes, notes James Whittaker, Head of Deutsche Bank Private Bank for the UK and Nordics.
“Early conversations with wealth managers can help identify some of the questions that need to be taken into account,” he says. “These may include how much liquidity the family needs, how proceeds should be invested, whether existing structures remain suitable, and how future generations should be involved in decision-making.”
In this context, a wealth manager’s role may be to act as a sounding board around the founder’s wider objectives, helping connect liquidity planning, investment strategy, lending, philanthropy and estate planning where appropriate.
This can be particularly valuable where a founder retains a meaningful stake in the business. Ongoing exposure may support alignment with a new strategic partner, but it can also mean that personal wealth remains closely linked to the company’s future trajectory.
“Creating wealth through entrepreneurship is a remarkable achievement. But preserving that wealth, structuring it effectively and ensuring it supports a family's objectives over the long term can be challenging. That’s where careful planning becomes increasingly important,” observes Whittaker.
“Our role is often to help founders and families think through the broader implications of change, bringing together expertise across investment management, lending, wealth planning and structuring considerations in a coordinated way,” he adds.
Planning ahead can help families distinguish between capital that should remain connected to the business, capital that may be set aside for personal or family needs, and capital that can be used for long-term investment, philanthropy or legacy objectives.
Family governance, continuity and the founder’s next chapter
For founders, the period after a sale can involve a shift in mindset. Attention may move from building enterprise value to managing family wealth, defining future roles, and deciding how much involvement the next generation should have in shared family assets and future legacy considerations.
Those decisions can be complex because they sit across commercial, personal and family priorities. Diversifying wealth, providing for family members and building a long-term stewardship may all point in different directions unless there is a clear framework for decision-making.
“Entrepreneurs are often focused on growing their companies and creating value. After a sale or significant ownership transition, they can be faced with a different set of questions: how to structure wealth efficiently, how much risk to take, and how to ensure their success translates into a lasting legacy,” highlights Whittaker.
“Those decisions often involve balancing the needs of the business, the family and future generations,” he adds. “A coordinated approach can help founders navigate that complexity with greater clarity, while keeping their long-term objectives at the centre of the process.”
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