Whether you are selling your business or transferring it to a family member, now is the time to review your business succession plan to ensure it’s up to date and will carry out your planned intentions for the business.
- Prepare your financial statements and complete a business valuation.
- Review any life insurance, disability insurance, retirement and benefit plans.
- Determine the amount of control you want over your business after your retirement.
- Review IRS obligations with a tax attorney or accountant to provide expert advice for the business transfer to ensure the transaction will benefit both you and the new owner.
It’s also helpful to document the policies and procedures used in your business, including relationships:
- With suppliers
- With customers
- With employees
Most importantly, review your personal retirement planning. Retirement income can come from many places. Review all income options to ensure you’ll enjoy your planned retirement lifestyle.
- Social Security
- Qualified plans
- 403b plans
- Nonqualified deferred compensation plans
- Stock options
- Business/investment property
- Life insurance