As a small business owner, I recognize both the importance and the difficulty of creating a Business Succession Plan. You might believe that your business will end with yourself, be purchased by someone or you may have partners to whom you plan on turning over ownership. These partners may or may not be your family members. These family members may or may not be the children of your current spouse. Potential land mines likely exist, but can be avoided with careful Business Succession Planning.
The issues are complex, but addressing them as early as possible is almost always the best answer. Brainstorming options with your professionals will give you ideas and may bring out tax savings or avoid pitfalls you would never have otherwise anticipated.
Our Estate Planning Lawyers have years of Business Succession Planning experience; It’s What We Do!
A Business Succession Plan preserves the business and its value. The plan addresses a response for the owner and key employee’s unexpected departure due to death, disability or other hardship as well as an orderly turnover of control and ownership due to retirement.
A Business Succession Plan is part of an overall Estate Plan that addresses the sale and transition of your business interest. Your Estate Plan address all of your assets, including your business interest.
Review both your Estate Plan and Business Succession Plan every two years.
Every venture should have an exit strategy, including a succession plan. By some estimates, it can take 15 years to prepare a succession plan and train a successor. If you are within 15 years of retirement or departure, it is time to prepare your Business Succession Plan.
If you foresee a family conflict with a Business Succession Plan, you are in vital need of a Business Succession Plan. Nothing destroys a business and scares away talent like a family dispute. Your business and your family are unique. The plan that best fits your needs can only be created after careful analysis and negotiation.
Your Estate Plan includes your Business Succession Plan. Addressing family goals is part of both the estate and business succession plan. Like each family, each method differs, depending on your assets, goals and relatives personalities. Let’s talk and brainstorm!
If you have any questions about Business Succession Plans or any other estate planning topics, please contact our office to schedule a free consultation. For more than two decades Klenk Law has focused only on Estate Law. We’ve seen it all, and this experience allows us to explain complex estate planning techniques clearly and concisely. We make it easy for you to understand Business Succession Plans so you can make the best decisions for yourself, your family and your business.