With unemployment rates at historic lows, many workers decided it was time to pursue their dream of
starting their own business. Learn more about business succession plan in this presentation.
With Christmas just around the corner, this edition Grant Field shares six tips to take your business to the next level in 2015. You will also see an update on the latest changes to SMSFs and the imminent end of the ATO's Project Do It campaign. Happy reading.
While creating a growth business can be exhilarating,
many entrepreneurs—especially those starting a
company for the first time—donʼt pay enough
attention to some core issues surrounding the
financial management of their businesses.
By Brad Feld
With Christmas just around the corner, this edition Grant Field shares six tips to take your business to the next level in 2015. You will also see an update on the latest changes to SMSFs and the imminent end of the ATO's Project Do It campaign. Happy reading.
While creating a growth business can be exhilarating,
many entrepreneurs—especially those starting a
company for the first time—donʼt pay enough
attention to some core issues surrounding the
financial management of their businesses.
By Brad Feld
The Seven Step Selection Planning Processjoerodwell
Planning to sell your business can be overwhelming when considering the broad range of issues and advisors with whom you will be working. At Exit Planning LLC we follow the Seven Step Exit Planning Process™ developed by the Business Enterprise Institute. This process revolves around your objectives in selling your business and aligns current and future advisors to these objectives.
The Seven Step Succession Planning Process™ is summarized in this powerpoint presentation.
Family Business Succession: What You Need to Know to Effectively Advise Busin...Nicole Garton
The owners of half of all small and medium size enterprises in Canada in Canada are set to retire in the next decade, with an estimated $1.9 trillion dollars of assets poised to change hands. Learn how to help your clients establish a successful plan for the transfer of ownership and management of the business to a chosen successor.
This is a short review of several commonly overlooked areas of planning that can severely impact the transition to retirement for small-business owners.
The Seven Step Selection Planning Processjoerodwell
Planning to sell your business can be overwhelming when considering the broad range of issues and advisors with whom you will be working. At Exit Planning LLC we follow the Seven Step Exit Planning Process™ developed by the Business Enterprise Institute. This process revolves around your objectives in selling your business and aligns current and future advisors to these objectives.
The Seven Step Succession Planning Process™ is summarized in this powerpoint presentation.
Family Business Succession: What You Need to Know to Effectively Advise Busin...Nicole Garton
The owners of half of all small and medium size enterprises in Canada in Canada are set to retire in the next decade, with an estimated $1.9 trillion dollars of assets poised to change hands. Learn how to help your clients establish a successful plan for the transfer of ownership and management of the business to a chosen successor.
This is a short review of several commonly overlooked areas of planning that can severely impact the transition to retirement for small-business owners.
What Factors Affect the Distribution of an Illinois InheritanceRobert Nash
If you are an heir to the estate, or believe you are a beneficiary of the estate, you may wonder how long it will take you to actually receive your inheritance; however, you may also be reluctant to ask as it may seem inappropriate or callous. Learn more about Illinois inheritance in this presentation.
Long Term Care Planning - Why It Should Be Part of Your Estate PlanRobert Nash
When you sit down to create your estate plan your primary objective will likely be to ensure that your estate assets are handled according to your wishes when you die. Learn more about long term care planning in this presentation.
In the unlikely event that you manage to go through your entire life without ever being an interested party to the probate of someone else’s estate, you should still familiarize yourself with the probate process as it will be of benefit to you when you are planning your own estate. Learn more about Illinois probate process in this presentation.
Your Illinois Estate Plan - What Should Be In ItRobert Nash
One half of all Americans do not have an estate plan, despite admitting that they know how important it is to have one. Learn more about Illinois estate plan in this presentation.
Illinois Trust Agreements - Why You Should Consider One for Your Estate PlanRobert Nash
All trust agreements require the same basic elements, including: maker, trustee, beneficiary, terms and assets. Learn more about Illinois trust agreements in this presentation.
Deciding to pursue guardianship is a highly personal decision; however, some common signs that your loved one may need one include: excessive and/or consistent “bumps and bruises” that cannot be sufficiently explained, increasing bouts of memory loss, misplaced items of value, late notice for bills, services being shut off for non-payment, worsening health condition that may be the result of failing to take medication or failing to follow-up with doctors. Learn more about guardianship in Illinois in this presentation.
Fiduciary Roles in Your Illinois Estate PlanRobert Nash
A “fiduciary” role refers to a position of trust, often involving money or property that has been entrusted to the individual in the fiduciary role. Learn more about fiduciary role in this presentation.
Do You Need to Include a Business Succession Plan in Your Estate?Robert Nash
The entrepreneurial spirit is flourishing once again in spite of, or because of, the recent recession the country suffered through. Learn more about business succession in this presentation.
How to Include Charitable Gifting in Your Estate PlanRobert Nash
Although a Last Will and Testament can be useful it is not generally sufficient for your charitable giving needs. Learn more about charitable gifting in this presentation.
Long Term Care Planning in Illinois: Why It Should Be Part of Your Estate PlanRobert Nash
When you sit down to create your estate plan your primary objective will likely be to ensure that your estate assets are handled according to your wishes when you die. Learn more about long term care planning in Illinois in this presentation.
Parents with Minor Children Estate PlanningRobert Nash
If you have minor children, or children of any age with special needs, estate planning takes on a heightened importance. Learn more about estate planning for parents with minor children in this presentation.
Your estate plan should be provide an opportunity for you to decide who will receive your estate assets when you die without the need for arguing or court intervention. Unfortunately, the validity of a Will or trust is sometimes challenged after your death. Learn more about contesting a will or trust in Illinois in this presentation.
An estimated 3.3 million Americans will live in the nation’s nearly 16,000 nursing homes during 2013. Out of 3.3 million, 1 in 7 people are ages 65 and up, and more than 1 in 5 of those are 85 and older.
This infographic describes seven easy steps to find the right nursing home in Illinois. It also shows the top twenty states with the most five-star nursing homes.
How Does Life Insurance Fit Into Your Estate Plan?Robert Nash
Creating an estate plan typically includes incorporating a variety of tools, such as your life insurance. Find out which type of insurance policy as well as how much would you need to add to your estate plan in this infographic.
Understand what it means to be a guardian as well as the Illinois guardianship process so you can protect your loved one who is unable to properly care for himself or herself.
A "File Trademark" is a legal term referring to the registration of a unique symbol, logo, or name used to identify and distinguish products or services. This process provides legal protection, granting exclusive rights to the trademark owner, and helps prevent unauthorized use by competitors.
Visit Now: https://www.tumblr.com/trademark-quick/751620857551634432/ensure-legal-protection-file-your-trademark-with?source=share
WINDING UP of COMPANY, Modes of DissolutionKHURRAMWALI
Winding up, also known as liquidation, refers to the legal and financial process of dissolving a company. It involves ceasing operations, selling assets, settling debts, and ultimately removing the company from the official business registry.
Here's a breakdown of the key aspects of winding up:
Reasons for Winding Up:
Insolvency: This is the most common reason, where the company cannot pay its debts. Creditors may initiate a compulsory winding up to recover their dues.
Voluntary Closure: The owners may decide to close the company due to reasons like reaching business goals, facing losses, or merging with another company.
Deadlock: If shareholders or directors cannot agree on how to run the company, a court may order a winding up.
Types of Winding Up:
Voluntary Winding Up: This is initiated by the company's shareholders through a resolution passed by a majority vote. There are two main types:
Members' Voluntary Winding Up: The company is solvent (has enough assets to pay off its debts) and shareholders will receive any remaining assets after debts are settled.
Creditors' Voluntary Winding Up: The company is insolvent and creditors will be prioritized in receiving payment from the sale of assets.
Compulsory Winding Up: This is initiated by a court order, typically at the request of creditors, government agencies, or even by the company itself if it's insolvent.
Process of Winding Up:
Appointment of Liquidator: A qualified professional is appointed to oversee the winding-up process. They are responsible for selling assets, paying off debts, and distributing any remaining funds.
Cease Trading: The company stops its regular business operations.
Notification of Creditors: Creditors are informed about the winding up and invited to submit their claims.
Sale of Assets: The company's assets are sold to generate cash to pay off creditors.
Payment of Debts: Creditors are paid according to a set order of priority, with secured creditors receiving payment before unsecured creditors.
Distribution to Shareholders: If there are any remaining funds after all debts are settled, they are distributed to shareholders according to their ownership stake.
Dissolution: Once all claims are settled and distributions made, the company is officially dissolved and removed from the business register.
Impact of Winding Up:
Employees: Employees will likely lose their jobs during the winding-up process.
Creditors: Creditors may not recover their debts in full, especially if the company is insolvent.
Shareholders: Shareholders may not receive any payout if the company's debts exceed its assets.
Winding up is a complex legal and financial process that can have significant consequences for all parties involved. It's important to seek professional legal and financial advice when considering winding up a company.
How to Obtain Permanent Residency in the NetherlandsBridgeWest.eu
You can rely on our assistance if you are ready to apply for permanent residency. Find out more at: https://immigration-netherlands.com/obtain-a-permanent-residence-permit-in-the-netherlands/.
In 2020, the Ministry of Home Affairs established a committee led by Prof. (Dr.) Ranbir Singh, former Vice Chancellor of National Law University (NLU), Delhi. This committee was tasked with reviewing the three codes of criminal law. The primary objective of the committee was to propose comprehensive reforms to the country’s criminal laws in a manner that is both principled and effective.
The committee’s focus was on ensuring the safety and security of individuals, communities, and the nation as a whole. Throughout its deliberations, the committee aimed to uphold constitutional values such as justice, dignity, and the intrinsic value of each individual. Their goal was to recommend amendments to the criminal laws that align with these values and priorities.
Subsequently, in February, the committee successfully submitted its recommendations regarding amendments to the criminal law. These recommendations are intended to serve as a foundation for enhancing the current legal framework, promoting safety and security, and upholding the constitutional principles of justice, dignity, and the inherent worth of every individual.
NATURE, ORIGIN AND DEVELOPMENT OF INTERNATIONAL LAW.pptxanvithaav
These slides helps the student of international law to understand what is the nature of international law? and how international law was originated and developed?.
The slides was well structured along with the highlighted points for better understanding .
Responsibilities of the office bearers while registering multi-state cooperat...Finlaw Consultancy Pvt Ltd
Introduction-
The process of register multi-state cooperative society in India is governed by the Multi-State Co-operative Societies Act, 2002. This process requires the office bearers to undertake several crucial responsibilities to ensure compliance with legal and regulatory frameworks. The key office bearers typically include the President, Secretary, and Treasurer, along with other elected members of the managing committee. Their responsibilities encompass administrative, legal, and financial duties essential for the successful registration and operation of the society.
Do You Need to Include A Business Succession Plain In Your Estate Plan
1. DO YOU NEED TO
INCLUDE A BUSINESS
SUCCESSION PLAN IN
YOUR ESTATE PLAN?
CURTIS J. FORD
ILLINOIS ATTORNEY
“With unemployment rates at historic lows, many
workers decided it was time to pursue their dream of
starting their own business.”
2. Do You Need to Include a Business Succession Plan in Your Estate Plan? www.nashbeanford.com
2
The entrepreneurial spirit is alive and well in the United States. In fact, it is
flourishing once again in spite of, or because of, the recent recession the
country suffered through. With unemployment rates at historic lows, many
workers decided it was time to pursue their dream of starting their own
business. After all, they had nothing to lose.
Whether you finally took the plunge only recently, or you have been a
small business owner for decades, you undoubtedly put your blood, sweat,
and tears into getting your business off the ground. It would be a shame
then to see your business fall apart because of your death or incapacity.
Without a well thought out business succession plan, however, that is
precisely what is likely to occur should you suddenly be unable to remain at
the helm of your business.
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3
THE RISE (AGAIN) OF SMALL OF BUSINESSES
Small business owners have
long been considered the
backbone of the American
economy; however, toward
the end of the 20th
century
the number of new small
businesses startups in the
U.S. declined significantly.
That changed though during
the recent recession as
small businesses began popping up again everywhere with many of them
flourishing. The result is that 50 percent of the American gross domestic
product is the result of family owned businesses. Moreover, small business
owners are currently responsible for about 80 percent of all new jobs
created in the U.S. Clearly, the small business owner is back in America
and likely here to stay this time around.
Getting a small business off the ground is not easy. Succeeding as a small
business owner is harder still while passing down a successful family
business to the next generation can be extremely challenging. Statistically
speaking, your family owned small business only stands a one in five
chance of making the transition from one generation to the next. Planning
ahead can greatly increase the odds of a successful transition when the
time comes.
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WHY A BUSINESS SUCCESSION PLAN IS NECESSARY
Most small business owners are heavily invested – both financially and
emotionally -- in the business. Failure is not seen as an option. If you have
managed to get to the point where your business is consistently profitable,
the odds are favorable that you and your family depend on the income
your business provides.
What happens to the business, and consequently the income derived there
from, should you be incapacitated or die? The answer to that question
remains elusive unless you have planned for the possibility by creating a
business succession plan. Imagine, for the moment, that you are
incapacitated or die tomorrow.
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Then ask yourself the following questions:
1. If you are incapacitated tomorrow in a tragic accident, who will take
over the immediate day to day control of your business?
2. Is it clear to your employees, business associates, and family who will
take over?
3. Does the individual designated to take over have the legal authority
to do so?
4. Will your family continue to benefit from the business’s success in
your absence?
5. What happens if you are unable to return to managing the business?
Who will take over in that situation?
6. Will your business be included in the probate of your estate? If so,
what will happen to the value of your interest in the business if it is
sold?
7. If your business is a family owned business have you prepared the
next generation to take over? Have you set up the proper legal
structure for the business to facilitate the transfer to the next
generation?
8. What will the tax implications be for your business should you die?
Unless you can answer each of the questions satisfactorily, your business is
in danger should you suffer an incapacitating event and/or die. Creating a
well thought out business succession plan will dramatically increase the
likelihood that your business will survive your death or incapacity as well as
help ensure that your loved ones are taken care of in your absence.
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6
THINGS TO CONSIDER WHEN CREATING YOUR
BUSINESS SUCCESSION PLAN
Just as your overall estate plan is unique, reflecting your individual needs
and goals, so will your
business succession plan be
tailored to fit the facts and
circumstances of your life
and business. There are,
however, several common
considerations that small
business owners face when
they sit down to create a
business succession plan, including:
What is the current legal structure of your business?
Do you plan to sell the business or pass it down?
Who will be your successor?
Is your chosen successor prepared?
What is your business worth and how will it be valued at the
time of your death?
How will any tax liability be handled?
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BUSINESS SUCCESSION PLANNING TOOLS AND OPTIONS
The unique
nature of a
small business
makes it
imperative that
you consult with
an experienced
estate planning
attorney when
deciding how
best to protect your business and your loved ones from the uncertainty and
confusion that often follows the incapacity or death of a small business
owner. Some common tools and options that may be considered though
include:
Gifting in your Last Will and Testament –if your business is a
sole proprietorship you can simply gift the business and all the
business assets to someone in your Will. This option, however,
comes with several drawbacks. For example, the business assets
could be lost to gift and estate taxes if your estate lacks the
necessary liquidity to cover the tax bill.
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Buy-Sell Agreement --this option is often used when there are
partners involved who are not family members. In short, a buy-sell
agreement allows you to determine ahead of time what your interest
in the business is worth or, in the alternative, provides an agreed
upon method of valuing the business when the time comes. Your
partner(s) agrees to purchase your interest in the business should
certain events occur. This ensures the continuation of the business
and a fair price for the sale of your interest in the business, the
proceeds of which will then become part of your estate or will go
directly to your loved ones.
Family Limited Partnership – If your business is a family owned
business a family limited partnership, or FLP, may be best for you
and your family. You are able to maintain majority control and day to
day management of the company for as long as you wish; however,
your successor can also begin to learn the business before you are no
longer available. In addition, there are typically some significant tax
advantages to creating a FLP.
Every small business in the United States is as unique as the entrepreneur
who started the business. As a small business entrepreneur you
undoubtedly want your business to succeed and thrive long after you are
gone. Talking to an experienced Illinois estate planning attorney about
9. Do You Need to Include a Business Succession Plan in Your Estate Plan? www.nashbeanford.com
9
incorporating a business succession plan into your overall estate plan is the
first step in ensuring the survival of your business as well as providing for
your loved ones.
REFERENCES
Genworth, Illinois Cost of Care Survey
Illinois Department of Healthcare and Family Services, Long Term Care
Illinois Department of Healthcare and Family Services, Long Term Services
and Information for Couples
Illinois Legal Aid, Disabilities Guidebook: Medicaid
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About the Author
Robert N. Nash
Robert N. Nash is a partner in the law firm of Nash Nash Bean & Ford, LLP. The law firm has
offices in Geneseo and Moline, Illinois and conference facilities available throughout
Northwestern Illinois. Mr. Nash chose the estate and business planning arena because he
believes it provides a positive force in his clients’ lives. He practices preventative, rather
than remedial law. Robert Nash focuses on all aspects of estate planning, including estate,
gift and income taxes, trust and probate administration, real estate, and business.
Nash Nash Bean & Ford, LLP
www.nashbeanford.com
Geneseo
445 US Highway 6 East
Geneseo, IL 61254
Phone: (309) 944-2188
Fax: (309) 944-3960
Moline
5030 38th Avenue, Suite 2
Moline, IL 61265
Phone: (309) 762-9368
Fax: (309) 944-3960