Planning and Extending Your Business' Legacy
Sooner or later, every business owner must leave the business he or she created. Business succession planning lets you take control of that process, so it isn't left to lawyers, or via government statute, but according to your wishes (including taking care of a surviving spouse, equalizing the estate to children who do not work in the business and those who do). An attorney with the right kind of experience can make sure your hard work is protected.
Lawyer John R. Windsor Jr. has practiced law since 1991 and has earned a Masters Degree in Taxation. He offers experienced, knowledgeable services and counsel for clients with both simple and complex business succession matters.
At the McMahon - Windsor Law Offices* in Memphis, Tennessee, we provide legal guidance related to all aspects of business succession planning. Our goal is to facilitate an orderly and affordable transfer of your business to the next generation or to a key employee. Contact us online or call 901.881.8794 to schedule a consultation.
Planning For a Positive Future
We will work with you to discover your objectives and develop the best possible plan for the succession of your business ownership interest. This may involve transition to family members or inside key employees, it may involve dissolution, or it may simply involve creating a plan for you to exit from the business.
We will discuss your time frame for the transition, the various parties involved in the process, as well as any financial requirements you may have. We will take the business's financial status into account and determine the most tax efficient way of transferring assets.
Succession planning often encompasses additional areas of our practice including estate planning, probate, and business transactions.
Options for Business Succession
When you are preparing to exit from your business, multiple options for succession exist in addition to transferring ownership within your family.
- Management buy-outs can take many forms. The most common of these are buy-sell agreements or other stock transfer techniques. Non-Qualified Deferred Compensation Plans to provide funding for an ownership transfer. The process involves determining a price, terms, and any of a number of legal techniques.
- Selling to the employees can involve options from a partial sale sale using a buy-sell funded using non-qualified deferred compensation arrangements and insurance to an ESOP to a sale of all the stock.
- Selling to an outsider can involve a new owner changing or closing your business. In this process we will help you hire a business broker or Certified Public Accountant to help "clean up" company financials and prepare for a buyer's package. Negotiations end in the signing of a letter of intent that outlines the terms of the sale and the price.
- Liquidation is not really an alternative to succession planning because a business ceases operation. Liquidation of assets may be the best way for you to get the highest price. Assets are put on the market and sold. The proceeds are used to pay off liabilities.
It is important to draft a comprehensive buy-sell agreement and other necessary documents to deal with the challenges that may occur during the life a business. These agreements should be reviewed by an experienced attorney, at minimum, every two to three years to ensure they reflect the current state of your business arrangement.
For more information, please see Attorney John R. Windsor Jr.'s Blog on Business Succession Planning: Business Exit Lawyer
Contact Our Office Today
For experienced assistance with business succession planning, contact us to schedule an appointment by calling 901.881.8794. We accept major credit cards, including Visa, MasterCard, American Express and Discover
