Business Succession Planning
Protecting Your Business’s Future with a Business Law Attorney in Plano
You invested your money, time, sweat-equity and heart into your business. In return, you expect to yield a profit and perhaps pass the company on to your children. Planning ahead from a professional and personal perspective can help you accomplish your goals.
Albin Law Group is dedicated to the businesses in the Frisco, Plano and North Texas communities. We have guided dozens of companies in formation, expansion and achieving success by anticipating problems, sharing our experiences and taking preemptive action.
Creating a business succession plan is an important proactive step to protect you, your family and your business. Our business law attorneys will discuss your individual concerns and tailor a succession plan that achieves your objectives. We strive to bring you confidence in the immediate health of your business and in its future.
When you are starting a business, it may be hard to imagine that your vision might diverge from your partner’s ideas or that your partner might want out at some time in the future. However, these outcomes are common in the business world. Establishing a well-formulated, written exit strategy protects your investment and the viability of the business in a time of upheaval including the death or divorce of a member.
We advise clients to form an exit strategy when establishing the company. At that point, partners are generally thinking more clearly and are more willing to cooperate with each other. When it comes time for a business partner to leave, an exit strategy allows you to limit the interruption to business operations and abide by the equitable terms the parties agreed to at the outset.
Estate Planning Considerations
Unlike a large multinational corporation, a family-owned business or sole proprietorship depends heavily on a few key employees and leaders. When a key person dies or becomes incapacitated, the very core of the business is placed in jeopardy. In some cases, an entire family relies solely on the income from the business, meaning your loved ones’ financial future is also at stake.
Our attorneys understand the importance of creating an estate plan and succession strategy that protects your family business and your family’s interests. We address the difficult topic of your death or the death of your partner head-on because we recognize how important a solid estate plan is to your company and to your family. There are many ways to protect and provide for you, your family and your business during these events if the situations are addressed in advance.
Protecting Your Business Assets from Contingencies
Your partner’s families have important rights in the case of divorce or the death of their loved one. A spouse may claim interest in the business ownership or even business assets that have been commingled with marital property. Likewise, an estate may seek control over business assets for distribution to the deceased’s heirs. Being in business with your partner’s spouse or children may never have been your intention. Our attorneys review your business operations to ensure the company remains separate from the marital and personal property of all partners. We also include language that protects each partner in these circumstances.