It’s Your Legacy – Are Your Wishes Clear?
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Most business owners spend a lifetime building a business without considering what will happen when they are not there to run it. Some have put together buy-sell agreements that do not take into consideration the details of their specific situation.
When designing a business succession plan, you need to carefully consider what should happen to each owner’s share if they die, become disabled, or retire. This consideration involves many factors, including:
Family: Blended families or family members who do not participate in the business may require tailored planning.
Valuation: A clear and efficient business valuation method can save the next generation of owners time and money.
Taxes: Effective business succession planning can help ensure your transition is as tax efficient as possible.
Legacy: A clear plan can help prevent disputes among your heirs.
These major considerations are often lost when opting for a default business succession plan.
When planning your business succession, decide what you want to have happen at each owner’s death, disability, or departure. Then look at what will happen under your current plan. If these do not match, it’s time to meet with an attorney who specializes in business succession planning.
Contact your local Federated® marketing representative to discuss our network of attorneys who are specialized in business succession planning.
Federated Insurance is an ACCA Platinum Partner. For more information about our Corporate Partner program, visit here or email ACCA’s Strategic Partnerships Manager Kenzi Vizzari at kenzi.vizzari@acca.org.
This article is for general information and risk prevention only and should not be considered another other offer of insurance or legal, financial, tax, or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all losses. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. This information is current as of its publication date and is subject to change. Some of the services referenced herein are provided by third parties wholly independent of Federated. Federated provides access to these services with the understanding that neither Federated nor its employees provide legal or other expert advice. All products and services not available in all states. Qualified counsel should be sought with questions specific to your circumstances. All rights reserved.
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Posted In: Partner News, Partners & Discounts
