Small businesses, meaning those businesses having less than 500 employees, make up 99.9% of all businesses in the United States. The owners of these small businesses will someday leave their businesses as a result of retirement, incapacity or death. But most small business owners are so busy working that they don’t make the time to think about business succession and estate planning issues. This is one of the big reasons that less than 1/3 of family businesses survive to the second generation, 65% of those fail to survive the second generation, and 90% of family businesses fail to survive the original business owner’s grandchildren.
Often people neglect to meet with their business attorneys who actually play a huge role in helping business owners plan for what is usually their largest asset – their business. All too often we meet a business owner who is so busy doing his job that he forgets about planning for the business. Many business owners wonder if they will ever be able to retire, who might take over the business, if the owner can get retirement income without going out of business, and what would happen to the business (and the business owner’s family) should he prematurely die or become incapacitated. But unfortunately, most small business owners do not give these things serious attention until they are ready to retire. That’s when they realize that if they had done more to plan for their business and prepare for its succession they could have achieved better results.
We can help you change your focus from how much you are making today to thinking about the future rewards you can reap by planning for your family and your retirement today.