Is your business a family-owned or family-controlled business? Well, you aren’t alone. Family businesses make up approximately 90% of the businesses in this country. Are you looking forward to passing your business on to one of your children? Or do you plan to sell it? Maybe you haven’t even thought about how you will exit your business. We know and understand that running your business can be time-consuming. Who has time to think about or plan the transition of the business?
We believe that planning for how you will leave your business should be an important part of retirement and estate planning. Regardless of whether you transfer your business to family members or employees or an outside buyer, proper planning could provide you with retirement income, or reduce your tax burden, or enable you to contribute to a chosen charity. Plan now so that you and your family will receive the best results now as well as after your retirement, disability, or death.
Planning the proper structure and legal entity for your business is a key first step in creating the business of your dreams. The structure creates the "blueprint" for how your business will be operated and managed. A key second step is determining how your business will be transferred or handed down when you are no longer able to manage the business. These steps are key parts of an estate plan and should be included in your estate planning process.