Business Succession Planning in Idaho
Why is This Important?
It has been reported in numerous studies and publications that family owned businesses make up between 80% and 90% of the approximately 21 million businesses in the United States. However, only approximately a third of those businesses will succeed to the next generation (fn) and only 12% to the third generation. Why is that? KPMG suggests that the reason is that, of the top ten issues of importance to business owners, most have nothing to do with planning for the future of the business when the owner retires or upon his or her death or divorce. Indeed a number of studies also state that, despite the importance of the family business to the economic future of a family, only between 19% and 30% of business owners have done any estate planning beyond a will!
Succession planning may make the difference between the long-term success or failure of your business, retirement and estate plan. Without comprehensive planning, you:
- May not have the cash flow needed to fund your retirement;
- May not be able to provide for your spouse after your death.
- May not be able to divide your estate among your heirs according to your desires (and theirs!);
- Your estate may not have enough liquid assets to pay estate taxes at your death, requiring a fire sale of your business; or
- Your business may not continue.
And with the passage in 2010 of the Federal Tax Reform Act, addressing business succession and estate planning issues is more important than ever.
How We Can Help?
Succession planning involves a multitude of issues crossing many different fields of expertise. We have extensive experience with family business owners and the many tools and techniques that can implement a succession and estate planning and minimize taxes and cost. We will work with you, your family, your accountant and your investment and insurance advisors to develop and implement a clear and understandable plan that takes you and your business to the next stage of life, in a manner that reflects all of your and your family's goals.