Saunders announced he was stepping down as manager following five successful years at the club.
And a spokesman from the club said he changed the culture of the club, as well as bringing unprecedented success to Hanbury Stadium.
The spokesman said: "Shaun has been transformational for Haywards Heath not just by taking the Blues through the leagues and winning numerous cups but probably more importantly, he has changed the culture of the whole club into one that is more ‘professional’ and one that is always looking to improve.
"To this end Shaun’s decision to step aside shows the real measure of the man.
"He has put the club first as he has seen that Lloyd is ready to take the team this season and he does not want to make it hard for Lloyd by being in the dressing room.
"Shaun will very much still be part of the club's future over the coming seasons when he returns from his well earned sabbatical."