Transferring Windows license after a format/upgrade

I recently built a new Windows 11 PC, and want to format my old Windows 10 machine, install a clean version of Windows 11, and give the PC to my father. My question is if there is going to be any issues so far as Windows licensing is concerned. Essentially, I want the same license on the PC, but under a different Windows account. The license is an OEM Windows 10 Home, if that matters.
 
If the old system that is running Windows 10 on it is activated with a license key, you should be able to upgrade the OS to Windows 11 then reinstall Windows 11 after recreating the bootable USB installer using Windows Media Creation Tools.