You know that having a solid estate plan is important for everyone, but it is especially important for individuals who own a small business. As a Delaware small business owner, you would be wise to also consider what will happen to your business in the future, either after your retirement or your death.
Business succession planning should be an integral part of your estate plan, and by doing this, you can better control what will happen to the business you worked so hard to build and grow. Not only is it important to plan for continued success, it is important to plan for a positive transition for your business, even if you have no plans to step away any time soon.
Protect the future of your business
It is impossible to predict what will happen in the future. Business succession planning may not provide you the power to control everything that happens, but it can offer you the ability to manage what will happen to your small business. While there is no cookie-cutter plan for business succession, you may consider the following steps as you decide what is best for you:
- Choose and train a successor
- Start investing in a retirement plan
- Have a plan in case of disability
- Decide if you will sell or close upon your retirement
- Consider projected growth in the coming years
Knowing what you need to include in your business succession plan may not come easy. You may have to make complex decisions about the future, but it can be good for your business to have a plan in place. You may find it useful to seek knowledgeable guidance as you work through these matters and lay the foundation for your business’ success in the future.
Exiting your business
Whether it is through retirement or another reason, you will eventually exit your business at some point. While you may think this is far off in the future, you would be wise to take measures to protect yourself today. Knowing that you have a business succession plan is not only good for your business, it can provide you with peace of mind and confidence regarding the years ahead.
Estate planning and having security is about more than wills and trusts. Your business is one of your most valuable and important assets, and you will find it beneficial to ensure you have accounted for business-related contingencies and transitions through a solid business succession plan.