... might grow the bottom line over the next five years. We’re referring to the future in which you no longer own your company. Successionplanning is an important task for every business owner. And it’s ...
Family-owned businesses face distinctive challenges when it comes to successionplanning. For example, it’s important to address the distinction between ownership succession and management succession. ...
Among the biggest long-term concerns of many business owners is successionplanning — how to smoothly and safely transfer ownership and control of the company to the next generation. From a tax perspective, ...
For business owners, successionplanning is ideally a long-term project. You want to begin laying out a smooth ownership transition, and perhaps grooming a successor, years in advance. And you shouldn’t ...
Everyone needs to plan for retirement. But as a business owner, you face a distinctive challenge in that you must save for your golden years while also creating, updating and eventually executing a succession ...
... your real estate holdings: to benefit your successionplan. Ownership transition A common and generally effective way to separate the ownership of real estate from a company is to form a distinct entity, ...
... a company’s owner, however, great knowledge can turn into a vulnerability when he or she decides to retire or otherwise leave the business. As you develop your successionplan, consider how to mitigate ...
Those who run family-owned businesses often underestimate the need for a successionplan. After all, they say, we’re a family business — there will always be a family member here to keep the company going ...
... option to offer a takeover bid after a specified period. Beyond clearing a path for your successionplan, the deal also may provide needed capital. You can use the cash infusion from selling a minority ...
... But, as time goes on, it becomes increasingly important that you give serious thought to a successionplan. When this topic comes up, many business owners show signs of suffering from an all-too-common ...
... pays the premiums and names itself beneficiary. Should the key person die while the policy is in effect, the business receives the payout. As you formulate and adjust your successionplan, one of these ...
As the saying goes, nothing lasts forever — and that goes for most companies. Then again, with the right successionplan in place, you can do your part to ensure your business continues down a path of ...
... leave their businesses via a successionplan, a written document outlining how the company’s ownership will transition. Often, however, these two documents never cross paths, much less join toward a ...
... to where it is today. So, as the saying goes, parting will be such sweet sorrow. Yet, when it comes to creating and executing a successionplan, decisive action is critical. You’ve got to respect the ...
Compare progress to plan. Don’t rely on vague notions of why your succession plan isn’t working. Identify the specific gaps in its execution. Also consider how your impaired plan is affecting your company’s ...
A buy-sell agreement is a critical component of successionplanning for many businesses. It sets the terms and conditions under which an owner’s business interest can be sold to another owner (or owners) ...
... other situations aren’t so obvious. For instance, if your company relies heavily on a key person, you should develop a viable successionplan and consider buying insurance in case that person unexpectedly ...
For some business owners, successionplanning is a complex and delicate matter involving family members and a long, gradual transition out of the company. Others simply sell the business and move on. There ...
Picking someone to lead your company after you step down is probably among the hardest aspects of retiring (or otherwise moving on). Sure, there are some business owners who have a ready-made successor ...