In our first article about business expense protection, we discussed the odds of a business owner becoming disabled at some point in his or her career. We also talked about typical business overhead expenses and the potential funding sources that can be used to pay for these expenses while the owner is disabled. We also … Continue reading How to Safeguard Your Business with Overhead Expense Protection
The decision to liquidate a family-owned business is not one to be taken lightly. The death of a business owner, or a situation where the owner becomes disabled and is no longer able to manage business operations, can cause family members to feel pressure to divest themselves of business assets. This can have long-ranging negative … Continue reading Business Liquidation Insurance: How to Prepare for the Worst
There are many factors that influence the success or failure of a business. The costs of doing business, including manufacturing, distribution, and marketing of products or services are some of these financial factors. Overhead costs, such as rents, employee salaries, and utilities can also eat into the profitability of a given company. If the company’s … Continue reading Business Overhead Protection: What You Need to Know
Family-owned businesses are unique in the world of commerce. These businesses may have started simple, then grown over the years to become local, regional, or even national powerhouses. Family businesses may be passed down from generation to generation. When a business owner dies or becomes disabled and is no longer able to handle business operations, … Continue reading How Family-Owned Businesses Should Handle Liquidation
Passing down a successful business from generation to generation is the goal of many business owners, as discussed in our previous piece. With advanced planning involving an insured Section 303 stock redemption plan, many obstacles that occur at the owner’s death can be avoided. Some obstacles that a Section 303 helps to avoid are: Estate … Continue reading A Section 303 Redemption Plan Helps Avoid These Obstacles
Business owners who intend to leave their successful business to one or more children should consider an insured Section 303 stock redemption plan for estate tax purposes. No one wants to give the government more of their hard-earned money than legally obligated. If planned correctly, an owner of a closely held corporation can reduce … Continue reading Handing a Business Down? Use This Stock Redemption Plan
For business owners, leaving a legacy behind for their children is often a driving factor. Leaving that legacy to chance is not. If the owner of a business passes away, often, the family will have to borrow the cash needed to pay for funeral expenses, taxes on the estate, and ordinary income taxation of stock … Continue reading Can Life Insurance Help Protect Your Legacy?