CREATING BUSINESS SUCCESSIONBondBeebe
Retirement, let alone plans to hand over the business, can seem like a distant speck on the horizon when virtually all of a business owner’s time is consumed by maintaining positive cash flow and a stable balance sheet. And if you don’t want to simply sell the business lock, stock and barrel – picking a successor isn’t always as easy as appointing a family member or assistant to take your place. Establishing a sound business succession plan is beneficial for most business owners and can be absolutely necessary for some. Partners who do not need or want a successor may simply sell their portion of the business to their partners in a buy-sell agreement, which then requires setting a dollar value for the business or their share of it.
Proper business succession planning requires sound preparation. Bond Beebe’s experienced business advisors draw on years of finance and budgeting management to work with you and assure a smooth and equitable transition of your business interests. The first task is establishing a set dollar value for the business, or your share of it. Bond Beebe’s Certified Public Accountants provide an appraisal or, if the portion of the company consists solely of shares of publicly-traded stock, then valuation of the owner’s interest will be determined by the stock’s current market value. We can structure cross-purchase agreements or entity-purchase agreements, counsel you through the steps you’ll need to go through to create a successful succession, and if business succession is just one retirement consideration, our Wealth Management team can also help get you started on your estate plan.