ABOUT US PRIVATE CLIENT SERVICES BUSINESS PLANNING CORPORATE BENEFITS RETIREMENT PLANNING RESOURCES CONTACT US
IN THIS SECTION:
Business Succession Planning
Business Risk Management
Executive Benefits &
Retirement Planning
Merger & Acquisition Planning

Related Resources:
Articles
Webinars

 

Business Succession Planning

Many business owners spend most of their time, energy and labor running and building their businesses. While developing or updating their business plans, owners need to determine the best alternative to maximize the value for an eventual exit strategy.

The Arkin Youngentob team knows that there are many approaches to developing an effective exit strategy. We will work with you to ensure the right approach is implemented so that goals are met or exceeded.

First, we go through an extensive discovery process to learn about your objectives for the future. Are you looking for someone to buy your business? What impact would death or disability have on the value of a business? What different ownership/control scenarios would result from your retirement, disability or death? Would the estate have sufficient liquid assets to cover estate taxes and settlement costs?

In the context of a family business, the ultimate accomplishment of sustaining the business over generations can be both exhilarating and stressful. Businesses can be:

  • Preserved for family ownership and management
  • Sold to partners or outside parties for family revenue
  • Liquidated for the family members to pursue other directions

Depending on your objectives, preparing family members to take control, preparing the founder to relinquish it, balancing the business and personal goals of active family owners and passive ones and spreading the value of the company from a nuclear family to an extended one are all fundamental issues to address. While nearly every founder envisions the business as a multigenerational success, very few of them plan effectively for these issues and the many obstacles that must be overcome.

The Arkin Youngentob team has assisted many business owners in the business succession planning process. For virtually all of them, the business represented the largest single asset in their estate which then led to integration of business and estate planning. No surprise, the commitment to planning your exit from the business mirrors your commitment to building it.

Programs

  • Buy/Sell Structures
  • Salary Continuation Plans
  • Key Man Insurance
  • Disability Buy Out Coverage
  • Executive Benefit Strategies
  • ESOPs
  • Buy Out Funding Solutions
  • Financial Strategies for Heirs and Successors

Case Study

We worked with a business owner who had an goal of transferring his professional service business to a child without having to pay gift or estate taxes. We recommended that they form a new company solely owned by the child. All the new revenues flowed to the new company and the value placed on goodwill and assets were minimized and purchased by the new company. Subsequently, the father received a consultant’s income from the new company. The result met our client’s goal and provided security to the father and transferred the business to the next generation.

The case study results are for illustrative purposes only. This example does not represent any specific product, nor does it reflect sales charges or other expenses that may be required. No representation is made as to the accurateness of the analysis.

Arkin Youngentob Associates, LLC does not offer legal or tax advice.

 

Business Succession Planning
As our business grew, the Arkin Youngentob team advised us on all of our employee and executive benefit planning, retirement planning and business succession planning. They were there every step of the way; ensuring that only the best decisions were made up through the sale of our business.”