Succession planning is a priority for any business. In the private business segment, seven out of ten privately held businesses fail to survive the transition from founder to second generation, typically succumbing to estate taxes, family discord - or both.
For all businesses, but especially for the segment of family businesses, a well-designed succession plan is essential.
We help with these key issues -
- Keeping it in the family. Pass the business on to your family or sell it to a third party? Weigh the advantages and disadvantages.
- Who's going to run the business when you're gone? Management and ownership are not one and the same. You may decide to transfer management of your business to just one of your children but transfer equal shares of business ownership to all your children, whether they're actively involved in the business or not.
- Minimizing the tax bite. The tax burden when transitioning a family business can be significant. A family business is not a liquid asset, but taxes are typically due when ownership is transferred.
- Making it fair. Transferring family ownership often adds a tremendous amount of stress. We can mediate with each of the family members.
Once we understand how you feel about the key issues above, we begin constructing your succession plan focusing on these 5 issues...
- Business Valuation
- Business Restructuring
- Tax Consequences
- Retirement Projections
- Tax Projections