Flood & Masiuk LLC
When you are a business owner you have to protect your personal assets, and you should also devise an exit strategy. Your vision for the future will naturally impact your actions in the present. You should work within a cogent framework that leads to the fruition of your long-term financial goals.
If you are the owner of a business, asset protection is key. We live in a litigious society, and there are always those who are looking for what they consider to be deep pocket targets.
People who are in certain professions are inherently exposed to litigation. Landlords can be targeted when injuries occur on their properties, and physicians are vulnerable to malpractice suits.
There are legal structures that can be utilized to separate your personal resources from the actions of your business. These would include family limited partnerships and limited liability companies.
Estate Planning for Business Partners
Estate planning for partners in small businesses can be tricky. How do you arrange for the distribution of your share in the business after you die?
This is frequently accomplished through the execution of buy-sell agreements. With the buy-sell agreement called the cross purchase plan, the business partners determine the value of a business share. Once this has been agreed upon, each partner takes out a life insurance policy on every other.
When one partner dies, the combined insurance proceeds are used to purchase the share that was owned by the deceased partner from his or her estate.
Asset Protection Resources
We have prepared three different reports on asset protection. These reports are being offered free of charge, and you can click the following links to access:
Free Southampton Asset Protection and Business Planning Consultation
To learn more about asset protection and business planning, send us a message through our contact page to request a free consultation.