FPC #12: Venture Protection & Business Succession Planning
A family business is more than that, it’s often a family mission.
The family is concerned about limiting liability, and providing for business succession.
Suppose you arrive at the office tomorrow morning and find out your partner:
- has died;
- had an accident/illness and is now in the hospital disabled and can no longer work;
- is divorcing from his/her Spouse;
- is being sued personally;
- is filing for bankruptcy;
- has quit;
- needs to be fired;
- just wants out of the business;
- is ready to retire;
- has lost his/her professional license;
- is using his/her equity in the company as collateral for financing a speculative investment;
- doesn’t agree with you on the direction of the company and there is a deadlock;
wants to give his/her equity in the company to his/her son, the couch-potato;
- has been approached by a major competitor who wants to buy out his/her shares in the company.
If you don’t have a Buy/Sell Agreement, or if the one you have doesn’t work, you could wake up with a NEW PARTNER, such as:
- Your former partner’s spouse;
- Your former partner’s ex-spouse;
- A court appointed conservator;
- Your former partner’s children;
- A creditor of your former partner;
- A bankruptcy court trustee;
- A bank;
- One of your competitors;
- Some third party investor.
This is one of the focus topics we present on a revolving basis at our weekly “guntrust Challenge” competitions — part shooting match, part quiz show.
So come visit our Family Protection Clinic and gain expertise on estate planning and self-defense!