On behalf of Kadish & Associates Law Group posted in Estate Planning For Business Owners on Friday, July 5, 2019.
Around 30% of business owners haven’t taken the time to create an estate plan. These individuals might not realize that they are putting the company, their employees and their family members at risk by overlooking an estate plan. The reasons for not creating a plan vary greatly. They may feel they have plenty of time, or they might think that nothing will happen to them. Some think that it will take too long to get the plan established. None of these are good reasons. The bottom line is that every business owner should have an estate plan in place.
One thing that you have to think about if you have a business is what is going to happen to it when you are gone. This is especially important if you have a family business that your loved ones are counting on for support. If you are in this position, you need to start thinking about a succession plan now. You must decide who is going to take over your company. If they are ready, you can start training them on what they need to do. The more they know, the better they are likely going to fare when they have to take your position over.
Even if you don’t think that the business is going to continue without you, there still needs to be a plan in place. This can be a way to transition your customers to new providers so that they aren’t left scrambling trying to figure out where to go in a hurry. This is a duty that most business owners have to their clients.
Once you know what plans you have, write them out. This gives those you leave behind something tangible to review that gives them directions for what must happen now.