Business Planning
Business planning should tie together the planning strategies of the business with the income and planning goals of its owners and key executives. For business owners, our services take on an advocacy role. Our role is to help business owners reach their financial goals and avoid costly mistakes. The ultimate goal of a business's strategic plan is usually to build wealth for its owners. Such plans most often focus on the operation of the business itself. If the business is not functioning as a valuable, profitable entity, other concerns can quickly become irrelevant. Business Planning Services Include:
- Business Continuation & Succession Planning
- Executive Compensation
- Qualified & Nonqualified Retirement Plans
- Buy/Sell Planning & Funding
- Split Dollar Plans
Uncertainty Requires Planning
You've put too much into your business to have it unravel when you're no longer actively involved. When you are no longer in the business:
- Will it provide income for you? For your spouse and family?
- Will your family sell your interest? If so, at what price?
- Will potential estate taxes jeopardize its continuation?
- Who will inherit your co-owner's interest in your business if something should happen to him or her?
Need for a Plan
Questions like these need answers; answers that should be well thought out. Planning for ownership succession of a business can be complicated; which is why business owners often avoid it or approach it unwillingly.
However, successful owners of sole proprietorships, partnerships and corporations need to remove any uncertainty over what will happen to the business when they're gone.
Without a plan for ownership succession your departure may have a serious financial impact on your family, employees and surviving owners. Outsiders may determine the fate of your business, possibly jeopardizing a lifetime of hard work.
Assuring the Continuation of Your Business
The best way to provide for the future of your business is to plan for it today. A business succession plan can be your roadmap for the transfer of your business to your successor owners thereby assuring its ongoing future success. A critical part of this plan is a buy-sell agreement.
What the Agreement Can Do
This agreement enables you to anticipate the transfer of your business interest upon the occurrence of triggering events such as retirement, disability or death.
In addition, it will:
- Preserve the value of the business for you and your family
- Establish a method for valuing your business interest
- Enable you to select your successor owners
- Determine the estate value of a non-family owned business
- Ensure continuity of management that is critical for the ongoing success of the business
An owner's death or disability cannot be anticipated. When either occurs the obligation to purchase an owner's business interest can place a financial strain on the business and surviving owners. Funding this obligation with life and disability income insurance can help protect the financial wellbeing of your family as well as your business.