Key areas to cover in a business succession plan

Leaving your lifeblood in the hands of someone else is rarely easy, but the more time and energy you spend on your Massachusetts business succession plan, the smoother you can expect the process to go. At Kajko, Wiseman & Colasanti, LLP, we have a firm understanding of the elements commonly found in a strong business succession plan, and we have helped many clients facing similar circumstances find solutions that meet their unique needs.

According to Inc., there are certain key areas you may want to address to increase the odds of a seamless transition when the time comes for you to say goodbye to your business. For example, if your business is a family one and you plan to transfer ownership to multiple family members, you will want to dictate guidelines for those family members to follow with regard to business operations.

Another key area you may want to cover when crafting your business succession plan is your own estate plan. Transferring business ownership brings with it certain tax considerations and implications, and you will likely want to make sure that you do not end up losing the business because you do not have enough to cover estate taxes.

Your business succession plan should also address the specifics of your succession plan, including who your successor or successors will be and when he or they can expect to take the reins of the company. While these are some of the key elements many business owners choose to include in their business succession plans, this is not an exhaustive list of all areas you may want to reference. You can find more about business law by exploring our webpage.

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