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Let Our Springfield Business Lawyers Help with Business Succession Planning

Are you in business for yourself?

Business succession planning is crucial when it comes to business law, regardless of the age of the owner(s). While retirement is a set time period in which a person chooses to take a step back from the responsibilities of running a business, no one plans to become disabled. An untimely car accident, stroke, or other health condition, could unexpectedly render you disabled and unable to manage your business. What happens then? Rather than worry about an answer, contact our Springfield business lawyers to create a succession plan to suit your needs.

Even if you have not planned before retirement, the time you start thinking about retirement is a time to think about business succession planning.

You can try to tackle this on your own, but your best bet is enlisting the assistance of an experienced business attorney, like those at LifeGen Law Group. We have the background and skills to help you plan for the future, putting you, your business partners, your family, and your business in the best position for a profitable and smooth transition when that time comes.

How can I make my business succession successful?

Exit strategy. Determining what will happen if and when you are no longer able to run your business is critical. The attorneys at LifeGen Law Group will discuss various scenarios with you. This process can help you evaluate all of the “if this, then that” scenarios.

These scenarios may include how you will leave the business at retirement, including whether you will wind up the business, sell to an interested party, or pass it down to a member of your family. Also, remember to consider the consequences if you were to be unexpectedly struck with a serious illness or injury. Your attorney can help you set up short-term protocols if your unexpected exit is of shorter duration and different protocols should your absence be long-term or permanent.

Disability Insurance. Disability insurance is an essential funding consideration to help keep the business and your family afloat should unexpected or unforeseen events alter your succession plans. In such instances, make sure you have the right kind and amount of disability income insurance to support you and your family. Also, “key man” disability insurance can help keep the business running without you.

Retirement and Estate Planning. If you have not done so, then now is the time to start a retirement plan. A comprehensive retirement plan typically includes tax-deferred investments (e.g., 401(K), SIMPLE Plans, IRAs, etc.), after-tax savings vehicles, trusts, and assets designed to provide the greatest return on your hard work for a future retirement. Your estate planning attorney will have ideas uniquely tailored to your specific situation and will work in close coordination with your financial advisor. This teamwork is essential given the tax planning and beneficiary designations involved.

Are you mentoring your successor? Think about what makes a good “you” in your business. What does it take to run your business efficiently and effectively? Once you have identified those personal qualities and traits, carefully select a successor — the person you want to take over. Choose wisely.

Timeline. You and your attorney should develop a flexible, written timeline. While it need not be set in stone, you should know generally when you would like to retire and sell, close, or transition your company to a new owner.

Contact Our Springfield Business Lawyers to Get Started

Pick up the phone and call us today at 417-233-4294, or click here to contact us online.