If you own a small business, as some point in time you're going to want to retire.  You may want to pass the business along to a family member, sell it to a third party or simply close the doors.  In any case, developing and implementing a well-designed succession plan is essential. 

Here are some issues to consider -

  • Keeping it in the family. Are you going to pass the business on to your family or sell it to a third party? We help you weigh the advantages and disadvantages of each of these options.

  • Minimizing the tax bite. The tax burden when transitioning a small business can be significant. The challenge is that a small business is not generally a liquid asset, but taxes are typically due when ownership is transferred.
  • Making it fair. Transferring family ownership often adds a tremendous amount of stress to individual family members. We talk with each of the family members to ensure that they feel they a getting an equitable and fair share of the pie.
  • Determining the sales price of your business.  Depending on who you're selling to, you may require a third party appraisal.