1) make sure potential new guild leader builds a guild house
2) this person should have the number 1 in their succession designation as the leadership will roll down the line
3) current guild leader hit "step down" button and will receive a confirmation asking if you want to step down and make "x" Guild Leader
4) hit yes -
5) a mail with a Guild Shield will land in that person's box, they need to click accept.
6) they will receive a "use your power wisely" notice and a notice that the transfer was successful
Succession:
Appears to autoload in order of entrance into the guild
To change simply go to the name that you want to be ranked and change their number accordingly
The screen will jump around a bit, but will roll that name to the top of the screen and then from their you can keep clicking until the number is where you want it.
If you get stuck, feel free to mail me -- TC's walked through it.
EDIT: If you are the current guild leader with powers -- and you are not showing as guild leader, read my post further down that has instructions on how to remedy this.
Cheers,
SP -- retired TC Guild Leader