This paper explores the issue of generational transition in family businesses, with a particular focus on preparation for a successful transition at the company Autokuća Habek. Family businesses constitute a significant part of the economy, accounting for 60-85% of all enterprises in Europe, and play a crucial role in employment and GDP. Despite this importance, many fail due to unsuccessful transitions between generations, with the most common causes being the late involvement of successors, sources of funding, the stubbornness of founders, and family disputes. The research objectives include identifying the problems of generational transition, analyzing the current operations of Autokuća Habek, and devising recommendations for a successful transition of Autokuća Habek. The methodology includes a case study and semi-structured interviews with key individuals within the company, using both primary and secondary data sources. Empirical research has provided a better understanding of the factors that contribute to the success or failure of generational transition and offered specific recommendations for the family business Autokuća Habek. The author is personally motivated, as he is the successor to the company, and believes that the experience of writing this paper will contribute to solving the problems of generational transition and adapting within the family business.