Skilled Guidance For Business Succession Planning
According to Forbes, only a third of family businesses successfully transition from the first generation to the second. Nonetheless, many people who have worked hard to build a business dream of that business continuing to thrive in the hands of their children and grandchildren. With skilled legal planning, it is possible.
At the Pohl Law Group in Manhattan, we work closely with business owners to guide them through the succession planning process. It is one part of the comprehensive estate planning services we provide to clients in New York City and throughout surrounding areas.
Keys To Success
What are the keys to the successful transfer of business assets from one generation to the next? Every situation is unique, but key considerations we take into account include:
- Choosing leadership: In many cases, certain heirs have taken a more active role in the business than others, making them a more natural fit for taking over ownership. You want to make sure the right people are involved, including business stakeholders within your family and key people outside the family who are integral to the business’s success.
- Reevaluating the business entity: At the formation stage of your business, you had to choose a business entity, such as limited liability company (LLC), an S-corporation or a C-corporation. We can help you determine if the business is better off in its current form or if changing its structure is in the best interests of the new ownership generation.
- Setting a timeline: Timing is crucial in ensuring that new management and ownership know their responsibilities going forward. It is often helpful for owners to work alongside their successors for some time, until the new leadership team is ready to take over the reins with confidence. Establishing a timeline with key milestones can aid in this process.
We understand that succession planning requires not only legal acumen, but also compassion and sensitivity. Business succession attorney Ronald S. Pohl will work with you closely to learn about your wishes, priorities and trepidations, so that he can tailor a legal and financial strategy that is right for you and your family.