Business Succession Planning Preserving Legacies, Securing Futures: Your Trusted Estate Planning Partner

Raleigh Business Succession Planning Attorney

Setting You and Your Business Up for Success

Our Raleigh business succession planning lawyer at Oak City Estate Planning can work with you to create legally enforceable contingencies that will protect and facilitate the future success of your enterprise. When you spend the majority of your life building a successful business from the ground up, you need to take steps to ensure its continuance once you are gone.

In ideal circumstances, you will have time and control over your exit. You may choose to retire or elect to sell your stake in the venture. However, you may not necessarily get to choose when you no longer control your business. An unexpected injury or illness could leave you temporarily or permanently disabled or even end your life.

Were you to suddenly die or become unable to manage the business, what would happen to it? Is a clear leadership succession plan in place? Will your team have the tools to quickly adapt? Will your family be fairly compensated for your contributions to the company?

No one can predict the future, but you can proactively plan for a wide range of possibilities. Our Raleigh business succession planning lawyer can help you start building your business succession plan for an orderly and effective transition.

We can also work to ensure that your estate will receive financial compensation consistent with your stake in the business, lending you and your loved ones the critical support that you will need should you become disabled or pass away.

Schedule a free vision meeting with our Raleigh business succession lawyer to discuss your business succession options. Call (919) 975-5359 or contact us online.

Scenarios You Should Prepare for in Raleigh and North Carolina

Business succession planning can cover a wide range of scenarios. The practice is not limited to anticipating situations where you unexpectedly pass away.

Business succession planning can help prepare you for situations where:

You become disabled
You and your spouse divorce
You choose to retire
You suddenly pass away

A successful business succession plan will protect both the interests of your loved ones as well as those of the company. You will need to ensure mechanisms are in place to ensure you, your family, and your business’s leadership are set up for success.

What Are The Key Components Of An Effective Business Succession Plan?

In our capacity as Raleigh company succession planning attorneys, we frequently stress the significance of having a thorough business succession plan in place to guarantee a seamless transition and ongoing business operations. The following are the essential elements of a successful business succession plan:

Succession Goals and Objectives: Clearly state your intentions for the business's future, including who will assume leadership, when they will happen, and any particular objectives you hope to accomplish during the succession.
Valuation of the Business: Consistently revise the enterprise's appraisal to guarantee a precise comprehension of its value. This facilitates equitable buy-sell contracts and supports successors' financial planning.
Buy-Sell Agreements: These contracts specify how ownership will be transferred in the case of an owner's passing away, becoming disabled, retiring, or experiencing other triggering circumstances. They offer a transparent transition plan and appraisal technique.
Training and Development Programs: Ascertain and prepare possible successors well in advance. This guarantees that they comprehend the operations, culture, and strategic objectives of the company and are ready to take over.
Legal Documentation: Verify that any required legal documents, including operating agreements, bylaws, powers of attorney, and trusts, are in effect and current. These legal documents offer the groundwork for a seamless changeover.
Tax Planning: To comprehend and prepare for the tax ramifications of the succession, collaborate with financial experts. Tax planning done correctly can reduce liabilities and guarantee the company's financial stability.
Emergency and Contingency Plans: Create emergency and contingency plans to make sure the company can keep running in the case of an unforeseen circumstance. This entails appointing acting leadership and creating procedures for different contingencies.
Communication Plan: It is imperative to maintain open lines of communication with all stakeholders, including family members, consumers, and staff. Keeping everyone updated facilitates a seamless transition and avoids misunderstandings.

Raleigh business succession planning attorneys can help create a thorough strategy that is customized to your company's particular requirements. You can make sure that your company succeeds and lasts for future generations by taking care of these important elements.

Secure the Future of Your Business With Comprehensive Succession Planning

The long-term profitability and sustainability of your business depend on your ability to plan for succession. To guarantee a smooth transition and safeguard your legacy, our team of knowledgeable attorneys at Oak City Estate Planning can assist you in navigating the complexity of business succession planning.

Our comprehensive approach to business succession planning includes:

Identifying potential successors
Creating a clear plan for leadership transition
Protecting the business from potential disruptions
Minimizing tax implications
Ensuring the continuity of the business's operations

With our expertise in business succession planning, we can help you anticipate and prepare for various scenarios, such as retirement, disability, or unexpected changes in ownership. Let us guide you through our simple process to create a customized plan that aligns with your business goals and safeguards your legacy.

Don't leave the future of your business to chance. Start planning with Oak City Estate Planning to secure a bright future for your business and loved ones.

Contact a qualified business succession lawyer near you in Raleigh at Oak City Estate Planning. Complete our online form or dial (919) 975-5359.

Ready To Protect Your Legacy

For many, protecting the future of a business you have helped create is not just about wealth preservation. Legacy is understandably important to many business owners, and our Raleigh business succession planning lawyer can give you the tools to assist your successors in maintaining and strengthening what you have built. At Oak City Estate Planning, we are invested in your long-term success and can work with you to explore all of the legal options available to you and your business. Our team can thoroughly evaluate every relevant detail of your company and provide individually tailored advice built on years of experience.

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“Plan for the unexpected!”
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It's crucial for everyone, especially those with dependents, to have a will. Planning isn't just for the likely events, but for the unexpected ones.
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- C.A.
“Lars is great!”
Lars is great - he walked us through the process and made sure that we understood each step. He helped create new categories in the planning process that will ensure we provide our family a detailed outline of our wishes. Highly recommend him to anyone looking to start or continue their estate planning journey.

- W.S
“Provided peace of mind going forward!”
My wife and I found working with Lars Kissling to be a productive and enlightening experience. His knowledge of estate planning is extensive. He patiently answered our questions and showed both concern and compassion about our own situation. We recommend Oak City Estate Planning. It is truly an investment in your family's future. I think Lars' services are needed by all, especially for families with small children or those with special needs. The end result is piece of mind going forward.

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“We would highly recommend Lars Kissling to others.”
My husband and I were very satisfied with the professional advice from Lars. He recently assisted us in updating our estate plan. He led us through a process that provided clarity on our goals for our plan. We would highly recommend Lars Kissling to others.

- B.K.
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“He was a great help to me and was very patient to explain all my options, many of which I did not know I had. He also helped me find financial planners which I desperately needed.”

- Mary M.
“Lars was very professional and thorough.”
“The process was easy and we now have a robust estate plan that covers any and all eventualities, protecting both ourselves and our beneficiaries. We highly recommend Lars at Oak City Estate Planning, having done so with friends and colleagues.”

- Phil B.

Our Simple 4-Step Process

1
Introduction
After signing up for a vision meeting, you will watch a video that provides an overview of estate planning.
2
Vision
During this meeting, you will meet with Mr. Kissling and discuss your case and specific planning needs.
3
Design
The second meeting with the attorney involves sitting with Mr. Kissling and actually putting your plan together.
4
Signing
In the third and final meeting, you will review the plan, tie up any loose ends, and sign your finalized plan.

Elements of a Successful Business Succession Plan in North Carolina

Any succession or exit has the potential to cause chaos in an otherwise functional company if the appropriate preparations are not made. The company will need to adapt to new leadership, sometimes without any notice, and manage the tax liability that comes with any transition.

The challenge of planning a business succession is it requires you to address and provide meaningful answers to difficult questions. It also acknowledges that tragedy can strike at practically any time.

Our Raleigh business succession planning attorney can help you answer these pivotal questions:

Who will own the business? You will need to decide who will possess the controlling stake in the business once you exit the company. Choosing a new owner can be a both symbolic and practical decision: You should ideally select someone who has a strong familiarity with the business model and is committed to the venture’s continued success.
Who will operate the business? In many cases, the owner of the controlling stake will also make both day-to-day and broad decisions about the business’s operations. In some cases, the individual or individuals who own the business and the person or persons who are chosen to continue to run it are different people. In either case, you will want to carefully consider the experience and capability of your anticipated leadership.
How will the transition function? You should assume for sake of worst-case scenario planning that your exit might be abrupt. In that instance, the rest of your company’s personnel will have limited time to react and adjust to the new normal. Ideally, you will need to leave behind clear steps that will facilitate an orderly transition. You want to avoid situations where people are not clear on who is in charge.
How will your estate be compensated for your contributions to the business? You have almost certainly put blood, sweat, and tears into the soul of your company. You may have even been responsible for building it from nothing. You deserve to be fairly compensated for your contributions and stake in the venture. Even if your exit is the result of your passing away or becoming incapacitated, your estate – and thereby your family – should still be rewarded.
How can you reduce tax liability? No matter the reason, any company going through a transition of leadership is subject to some level of transitional taxes. Without proper planning, these taxes can be immense and can adversely impact both you (or your loved ones) and the company itself.
How can you avoid other unintended consequences? The truth is that any exit is bound to cause disruptions, even if the transition is planned well in advance. You should do everything possible to mitigate how these consequences can affect you, your family, the company’s new leadership, its employees, and your clients.

Why You Need Legal Assistance with Business Succession Planning

Some business leaders put faith in themselves, each other, and the strength of their business. They believe that they will be able to navigate any conflict that comes their way and that business succession planning is not necessary. This confidence can sometimes stem from a discomfort in having hard conversations and deciding with some finality who will stand to inherit ownership and control.

You might hope that informal conversations about succession and future leadership are enough. With so much at stake, you will almost always need legally enforceable tools to conduct an orderly and effective transition. Failure to put mechanisms in place can jeopardize the stability of a previously healthy company.

Businesses without effective succession plans can suffer many consequences, including:

Heavier tax burdens. Transitional taxes can represent an expensive liability to a company already reeling from an unexpected transition. They can also harm the business leader exiting the company or the loved ones of the leader if they have become disabled or passed away.
Leadership churn. If valued company management and leadership personnel does not have faith in the future direction of the company, they are less likely to invest more time and energy there. This can result in quality executives looking to the exit door themselves, unnecessarily robbing the company of talent.
Shareholder uncertainty. If your company is publicly traded, shareholders want to feel confident about the future and stability of a venture. A disorganized or chaotic leadership transition can send share prices plummeting and cause severe or even permanent damage.
Leadership vacuum. If it becomes unclear who is meant to assume ownership and control of the business, top executives may begin to vie for power. This can lead to toxic and unproductive battles that take away from the continued smooth operations of the company as well as contribute to other problems.
Ill-timed exits. No one can control when a business leader passes away or is seriously injured. However, many exits are the result of an executive voluntarily retiring or selling their stake in the venture. In these cases, it can be important to understand how the timing of an exit impacts the perception of the company as well as any practical implications. If the business is about to undergo a significant product launch or merger, for example, it may be wise to delay a voluntary exit to avoid unnecessary uncertainty.
Reduced overall value. Many of the aforementioned potential consequences of a mishandled exit all contribute to lost value for the company. Any controversy or practical loss in share value can damage the enterprise’s ability to effectively conduct future business.
Insufficient compensation for the exiting party. You and your family deserve to be paid for your work at the business. Without an enforceable agreement in place defining this compensation, you and your loved ones may not receive what you should be entitled to.

Our team can help you avoid these consequences and more through effective business succession planning. We are familiar with many of the avoidable mistakes that companies and their leaders make and can help you understand the planning tools available to you.

Some of the business succession planning tools we can assist you with in North Carolina include:

Business Overhead Expense Insurance Policies. You likely represent a tremendous asset to the continued success of your company. By investing in an insurance policy, your venture’s overhead expenses can be covered in the event that you are injured or pass away, giving your company time to adapt with minimal financial disruption.
Disability Buy-Out Insurance. There are situations where you might become disabled and unable to maintain your work as the leader of your company. An insurance policy tailored to this scenario can cover a buyout of your stake in the business, protecting both you and the business.
Buy-Sell Agreements. You deserve to reap the financial rewards of building and augmenting a business. Negotiating your buyout terms in advance through a buy-sell agreements can help avoid ugly conflicts later and protect your interests should an abrupt exit become necessary.

Commonly Asked Questions

What is business succession planning?

When it comes to business, succession planning refers to devising a strategy for the continuity of the enterprise in the face of unexpected scenarios like the owner's disability, retirement, or demise. Its goal is to facilitate a seamless handover of management and proprietorship.

How does business succession planning benefit a business?

In Raleigh, business succession planning can provide stability and continuity for local businesses. It helps ensure that the business remains operational and can adapt to changes in leadership, protecting the interests of employees, clients, and the local community.

What role does a business succession planning lawyer play?

A business succession planning lawyer can provide legal expertise and guidance in creating a comprehensive plan tailored to the unique needs of the business owner and their enterprise. They can help navigate complex legal and financial considerations to ensure a well-prepared succession plan.

Get peace of mind with our help. Start building your business succession plan by calling (919) 975-5359or contacting us online.

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