If you have spent your life building and running a business, chances are you have definite ideas about whom you would like to take over when you are no longer able to run the business. Is it your spouse, your children, a friend, a key employee? Planning how your business will be carried on (or dissolved) in the event of your death or incapacity and incorporating your business succession plan into your overall estate plan is necessary to ensure that your wishes are followed. This type of planning is especially critical for those who have family businesses who need income from the business to care for their loved ones, need income to fund retirement, or want to be sure the business continues to operate.
Whether you own a corporation, an LLC, or a sole proprietorship, there are certain steps which much be taken to implement your business succession plan. There are many tools to ensure your plan works, including the use life insurance, assignment or transfer of interests to a trust, buy-sell agreements, durable powers of attorney, properly drafted wills and trusts, etc. However, none of these tools will be available if you have failed to plan while you had the capacity to do so.
Even if you have already provided for business succession, it may be time to revisit the plan. Your business may have grown in value or your goals and desires may have changed since you established your plan. Any business owner interested in business succession planning should contact Chilina Law Firm or another California law firm practicing in the areas of business law and estate planning for a review of their options regarding business succession.
Authored by Karen Chilina and Co-Authored by Greg Chilina
Chilina Law Firm, a Professional Corporation, is a full-service estate planning, probate, trust administration, business law, and real property law firm that provides a wide-range of advising, transactional, and litigation services to its clients from its office located in Atascadero, California. The firm’s attorneys represent individuals and business entities in an assortment of transactional and litigation matters involving estate planning (including trusts, wills, powers of attorney, and medical directives), probate, trust administration, as well as general business law, contracts, corporate governance, land use, and real property. Chilina Law can be contacted by telephone at (805) 538-5038 or by email at firstname.lastname@example.org or visit the Chilina Law Firm at www.chilinalaw.com. Chilina Law Firm is based in Atascadero, California and serves North San Luis Obispo County communities, including Santa Margarita, Atascadero, Templeton, Paso Robles, and San Miguel.
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