The vast majority of American family-owned businesses are proudly passed from one generation to the next. However, passing on the business you’ve worked so hard to build can come with some significant challenges that require careful planning to ensure a smooth and sustainable transition.
We’ve all heard from lawyers like me (perhaps, ad nauseam) how important estate planning is, but we keep harping on precisely because we’ve witnessed the havoc that occurs when families fail to plan for the future. Because so many modern businesses have become more sophisticated and more valuable than in previous generations, succession planning has become more complex, making estate planning is more critical than it has ever been.
Naturally, all of this complexity can lead most people to procrastinate when it comes to estate planning. At Davidson Law Firm we’ve heard the same excuses for delaying this inevitable task over and over, but for every excuse, there are a handful of reasons to get motivated and take action.