Articles Tagged ‘financial’

Selecting the Right Exit Path — Transferring Ownership to Children, Part 1

Wednesday, July 28th, 2010

TRayPhillips

Presented by T. Ray Phillips

The purpose of Exit Planning is for you to achieve your financial and lifestyle objectives after you leave your business. One of the fundamental objectives that needs to be decided early in the Exit Planning Process is selecting your successor.

Trends have indicated that the majority of owners of smaller-sized businesses prefer to transfer the business to other family members, an employee or a co-owner. Only a small percent of these owners want to sell to an outside third party. Unfortunately for owners, the people they first identify as their successors often do not end up as the ultimate owners. Much effort is wasted focusing on the wrong successor target or, worse yet, wrongly assuming a child or employee wants to own the company typically doesn’t take into account alternative plans.

read full article »

  • Twitter
  • LinkedIn
  • Digg
  • Technorati
  • Facebook
  • del.icio.us
  • StumbleUpon
  • Google Bookmarks
  • email
  • RSS
  • FriendFeed
advertisement

Putting All of Your Eggs in One Basket

Monday, July 12th, 2010

T-Ray-Head-Original-shot-Feb-2008-200x300

Presented by T. Ray Phillips

We have all heard the old proverb that it’s dangerous to put all of your eggs in one basket.” But does the proverb apply in the world of business ownership? Specifically, is it a valid warning or just a worn-out cliché? It seems to make good sense to concentrate all of your business effort and ownership in one entity rather than creating multiple entities to own your business and its operations.
In fact, concentrating all of you business wealth and assets in one entity can instead:
• Make it easier for future creditors to attack and attach all of your business assets;
• Result in unnecessary income taxation and avoidable estate taxation;
• Complicate, not facilitate, key employee incentive planning; and
• Consequently, delay your exit from the business.
read full article »

  • Twitter
  • LinkedIn
  • Digg
  • Technorati
  • Facebook
  • del.icio.us
  • StumbleUpon
  • Google Bookmarks
  • email
  • RSS
  • FriendFeed
advertisement