Preparing for Changes in Ownership
You can prepare for the problems that can come with a change in ownership by using these techniques:
This is the most common business continuation tool. Life insurance funds the agreement, which establishes the value of your business and assures a ready market for your share in the business after you're gone.
Key Employee Life Insurance
Provides you with the funds you need to keep your business running smoothly when you lose a key employee.
Personal estate planning
Carefully incorporating your business needs into a total estate plan can help you meet estate tax and liquidity needs to preserve the full value of your business for your family and associates.
Life insurance products contain fees, such as mortality and expense charges (which may increase over time), and may contain restrictions, such as surrender periods. Please keep in mind that the primary reason to purchase a life insurance product is the death benefit. Financial Advisors do not provide specific tax/legal advice and this information should not be considered as such. You should always consult your tax/legal advisor regarding your own specific tax/legal situation.