Estate and Business Succession Planning

We work with business owners and their tax and legal advisors to help them define, coordinate and integrate their retirement, business succession and estate planning goals and objectives. 

Basic questions concerning retirement include:

• Do you plan to retire? If so, when?
• How much do you need to retire?
• How does your business fit into your retirement plans?
• Do you have a retirement income shortfall? 

Business succession options are sale of the business, liquidation of the business or gift or transfer of the business to family members or key employees. 

• Planned sales protect the value of the business and are typically available only if there is a willing buyer or successor.
• Liquidations (forced sales) occur because not all succession plans will succeed, or because they are triggered by death, disability or retirement. Liquidation usually results in a significant loss of business value. Proper planning anticipates these contingencies and seeks to minimize the loss in business value. 

Gift or transfer to family members or key employees. Some requirements of a successful gift or transfer are:

• The older generation must be willing to give up control over a period of time (or at death). 
• The successor managers (family members or key employees) must be willing and able to run the business. 
• Careful analysis is needed to determine if the business is capable of meeting family income, retirement and estate distribution needs. 
• Periodic review is necessary.

An Estate plan can be defined as a systematic plan for the accumulation, conservation and distribution of an estate. An effective estate plan accomplishes the owner’s goals efficiently and effectively and results in distribution of estate assets to the owner’s intended beneficiaries with a minimum of costs. We work with the client’s tax and legal advisors in selecting the tools and planning techniques that will help achieve the client’s goals and objectives.