Over the past few weeks, I have had several conversations with friends and colleagues about estate planning issues. Why is this? Probably because of my age and the fact that the discussions intrigue me.
A few of my boomer friends are dealing with aging parents and their concern for what happens next. There is great sensitivity around how to approach the "it's time to move out of your house because I am afraid something is going to happen to you when I am not here" or "can we discuss what to do with the family cottage before something happens to you or Dad"?. As a result, the conversation gets put on the back burner and it becomes a white elephant in the room.
If you are in the above category, I invite you to do this sooner than later. Start thinking about the best time to start the conversation. It is difficult and yet you will be surprised at how much easier the next conversation will be.
Best time to plant a shade tree is today. So get planting.
Gayle
Tuesday, May 24, 2011
Friday, January 14, 2011
Strategic Goal for Entrepreneurs-Create a Business Will
Well it is 2011 already and it is time to re-evaluate your wills. Both personal and if you have a business, your business will. And if you do not have one, as Nike would say, just do it.
In today's Globe and Mail, January 14th,business section, there is a great article about the lack of business wills and the mess it makes for the family, the employees and the business. I would encourage you to read it. (find: Lack of ‘business will’ leaves big mess by CATHRYN ATKINSON)
Very timely article for entrepreneurs evaluating their 2011 goals to include a business will and a succession plan for their business. So many business owners I have worked with are so passionate about what they are doing, what they are selling and what they have created, that they forget to and do not allocate time to work on their business to ensure all operational areas have succession planning in place in the event of an unforseen what if life event or they want to sell the business and make money.
Most important strategic goal for this year should be a business will that outlines who will get what and who will be responsible for the business decisions as they come up. However that only speaks to the higher level of legal accountability. The rubber on the road is how will the business will be truly implemented to ensure ongoing financial success for the business. Who, What, Where. Why and How. Only 7% of entrepreneurs have a written plan for succession and 71% of entrepreneurs intend to retire in the next 10 years. Plus the stats on how many people let alone business owners who have wills. Close to 50% do not.
So that will create a tsunami in the business world that ultimately impacts the family, the employees and the customers.
There is a great book to read called The Business Transition Crisis by Wayne Vanwyck.
Start the conversation with your family, your advisors and your business team to get your head into thinking about how to best position your family and business in the event you can't come to work tomorrow.
In today's Globe and Mail, January 14th,business section, there is a great article about the lack of business wills and the mess it makes for the family, the employees and the business. I would encourage you to read it. (find: Lack of ‘business will’ leaves big mess by CATHRYN ATKINSON)
Very timely article for entrepreneurs evaluating their 2011 goals to include a business will and a succession plan for their business. So many business owners I have worked with are so passionate about what they are doing, what they are selling and what they have created, that they forget to and do not allocate time to work on their business to ensure all operational areas have succession planning in place in the event of an unforseen what if life event or they want to sell the business and make money.
Most important strategic goal for this year should be a business will that outlines who will get what and who will be responsible for the business decisions as they come up. However that only speaks to the higher level of legal accountability. The rubber on the road is how will the business will be truly implemented to ensure ongoing financial success for the business. Who, What, Where. Why and How. Only 7% of entrepreneurs have a written plan for succession and 71% of entrepreneurs intend to retire in the next 10 years. Plus the stats on how many people let alone business owners who have wills. Close to 50% do not.
So that will create a tsunami in the business world that ultimately impacts the family, the employees and the customers.
There is a great book to read called The Business Transition Crisis by Wayne Vanwyck.
Start the conversation with your family, your advisors and your business team to get your head into thinking about how to best position your family and business in the event you can't come to work tomorrow.
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