Develop and implement a plan of succession to ensure the future of your business if you retire or otherwise.
Benefits of Planning Ahead
Ensuring the continuation of your business with a properly drafted Buy-Sell Agreement
will provide more than just a mechanism for transferring the business—it may save you thousands of dollars and hours of time by eliminating the costs, delays and frustration
of IRS contests and litigation. When properly drafted, a Buy-Sell Agreement will establish
the value of a business for the purposes of federal estate and gift taxes.
Types of Buy-Sell Agreements
Depending on the legal entity of your business, an agreement can be established between
your partners, your business and its shareholders, and other family members or you and
a key employee or employees.
The business entity agrees to purchase the interests of the individual owners.
All of the owners of the business agree to purchase the share of any owners.
Wait and See
Owners or business will have the first
option to buy the interests of the owners who leave.
Guarantees the sale and purchase of a business interest in the event of an owner's total disability.
Create and Manage
Here at Firstgate Insurance Management, we provide planning tools and guidance for smooth transitions and successful
business continuity into the next generation. We have the expertise to not only structure the
proper agreement, but also provide excellent funding resources and offer additional business
continuity management services.