Many of our clients have their own business or have family businesses that have been in their families for generations. Although they work hard to make their business grow, one thought is not commonly discussed: a proper estate plan for their business. If something was to happen, and there is no estate plan or a succession plan for the future of the business, loved ones will have to make decisions they might not be ready to face during a difficult time.

Here are a few things to consider when planning for the future of your business:

1. Your estate plan should include provisions for your business. Generally for business owners, a trust can best account for your assets upon incapacity and death. You can designate a Special Trustee to help manage the day-to-day functions of the business upon your incapacity or death. A trust can even specify terms for the sale of the business. Proper estate planning can ensure a smooth transition.

2. Failing to have a succession plan for your business can also cause complications. Consider your family members: your spouse, your children, your parents, etc. Would they be able to continue running the business if you no longer could? If you do not have a succession plan, your family members will be inheriting the business with no guidance. Taking the time now to identify your business’ needs, can ensure its future.

3. As a business owner, it’s more likely than not that a significant portion of your household income comes from this business. If something was to happen to you, this income will vanish.

Life insurance policies can ensure that your family still has funds available when this income is no longer there.

While this discussion is not an easy one, it can help save your family time, money and heartache. We can start the discussion together. Give us a call, and we will gladly help.

Glendale Location

616 E. Glenoaks Boulevard, Suite 203

Glendale, CA 91207

Sherman Oaks Location

15303 Ventura Boulevard, Suite 900

Sherman Oaks, CA 91403