By Fredrick P. Niemann, Esq. a Passing on a Business Attorney
Own a business in NJ? Thinking about the future for your business? What are your goals, your family’s goals, and your company’s goals to be considered in a successful business succession plan. Important issues need to be addressed in each phase of planning include:
Family Dynamics and Relationships:
Is there a conflict within the family affecting the business? Are some family members active in the family business and some not? Does this create the conflict? Can family members pursue their own goals within the current structure of the family business? Perhaps a change of structure is in order.
As the owner, what is your role now? What do you want it to be in the future? Will you remain involved, or will you totally step aside? What if you become disabled? How will you and your children remain financially secure? What are your sources of income? What are your options? Perhaps additional life insurance, disability insurance, or other sources of financial support are called for
Company Forward Planning:
What is your company’s economic value? When is the last time you had it appraised by a Certified Business Appraiser? Where do you want the company to be in five or ten years? Do you want to expand, cut back, or sell?
Succession Planning and the Future:
Who, if anyone, will take over your business? Should it be your son(s) daughter(s) or other family member? How will the value of the company be distributed? Should you pass it on by will or Trust? How will estate taxes affect the company? How will significant wealth affect your children? Should the creation of a family foundation be considered? It’s time for you to think about keeping your business and its legacy alive in the future.
Contact me personally today to discuss business succession planning in New Jersey. I am easy to talk to, very approachable and can offer you practical, legal ways to handle your future business plans. You can reach me toll free at (855) 376-5291 or e-mail me at firstname.lastname@example.org.