Matt Wiese, Chair of Carney’s Estate Planning Group, recently published an insightful article on succession planning, written with restaurant owners in mind, but full of takeaways that apply to any privately held business.
Whether you run a family business, own a stake in a partnership, or are a sole proprietor, the reality is the same: life happens, and without proper planning, unexpected events like death, disability, or divorce can disrupt operations, or even end a business overnight.
Here are a few key insights from the article:
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Buy-Sell Agreements are essential for businesses with multiple owners. These agreements outline what happens when an owner exits due to unforeseen events, and they help avoid conflict and confusion during transitions.
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For sole owners, legal tools like Wills, Trusts, and Powers of Attorney can make the difference between a smooth handoff and a drawn-out court battle.
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Disability and divorce are often overlooked in business planning, but both can be just as disruptive as a death, and deserve the same level of preparation.
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Insurance can be a helpful funding tool during transitions, but it’s only effective when paired with clear legal documents that define how shares are valued and purchased.
Succession planning isn’t just about preparing for retirement, it’s about protecting your business, your partners, and your family when the unexpected happens.
If you have questions about navigating growth or managing future transitions, contact Matt Wiese at wiese@carneylaw.com.
This article is for informational purposes only and does not constitute legal advice. Please consult an attorney for advice specific to your situation.
