Business Owners: You Need To Do This One Thing…RIGHT NOW!!
Just south of ‘Sawmill Creek…..
Hi Attorney Kevin Pritchett here
The Biggest Business Mistake You’re Probably Making
One of the biggest mistakes you’re making right now with your business is…….
YOU HAVE NO SUCCESSION PLAN BUILT INTO YOUR OPERATING DOCUMENTS!!!
I’m right about that aren’t I ????
You’re so busy building and growing you pay no attention to how to pass the business to the next generation. Big problem…..easy solution!
Add Succession Language In Your Entity Documents
Fortunately this is the kind of problem that has an easy solution…AS LONG AS YOU PAY ATTENTION AND ADDRESS IT!!
Decide who you want to take over your business when you either quit, retire or die. Then make sure your Bylaws or Operating Agreement provide for whatever decision you make.
What Happens When You Become Disabled Or Die
Further, make sure your documents state what happens to your business interests should YOU become disabled or die. The last thing you want is for your business to be rudderless should you not be at the helm.
If you want a family member to take over be sure to weave in language including your personal Estate Plan including Power of Attorney For Property and Revocable Living Trust.
Be Sure To Provide For Succession Funding
If your succession plan calls for a purchase of business interests by existing partners or employees, make sure there is a funding mechanism in place that will provide the cash required to complete the succession transaction.
Structured correctly and purchased early enough, a cash value life insurance policy can be purchased by the company and used to pay for the purchase whether or not you die
Reach Out To Me If You Have Questions.
If you have comments or questions about any of this…send me an email :ironkop@gmailcomor if reading on my blog or Facebook page leave your questions or comments below.
Remember…..”Things Don’t Get Better With Neglect…..”
Kevin Pritchett, Esq
Law Office of Kevin Pritchett, Inc.
www.KevinPLaw.com
ironkop@gmail.com
312-505-1957
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Kevin Pritchett, Esq
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Kevin Pritchett, Esq
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Kevin Pritchett, Esq
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Kevin Pritchett, Esq
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Kevin Pritchett, Esq
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Kevin Pritchett, Esq
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