Novas Law Group | Downey, CA
Are your business assets protected? Whether you own a small or large business independently or with shared ownership, it is never too soon to start thinking about estate planning for your business. As long as you are competent in making decisions for your business, it is a good idea to start planning sooner than later since you don’t know when the unexpected will happen. It is more important to start planning if your business is the primary support system for your family.
Benefits of Estate Planning for Business
Different actions can take place based on what you want for your business when you pass away. You can choose to keep the company in the family, sell it, or appoint someone to continue or end it. Planning allows for addressing potential issues such as tax liabilities while protecting related assets. Planning for your business today lets you control the following:
- Tax considerations based on the value of your business. You’ll assess the current value and gain insight on its potential value upon death to understand what may be taxable.
- Choose a successor or leave it to the co-owner. You can establish an agreement between co-owners and preplan for arrangements to sell or buy to specific parties.
- Create a business succession plan that details business management, ownership transfer, responsibilities, and how employees are retained.
- Manage other steps or actions necessary to reduce taxes owed and avoid probate.
Have questions about how to protect your business? Contact us today to schedule a consultation to discuss your concerns and learn your options.