By Nathan Kublank and Mary Ellen Krueger, Aspiriant Directors in Wealth Management and Partners
It’s common for family businesses to strongly believe the company they or previous generations steadfastly built is the family’s best long-term asset.
While on the surface this belief is understandable, and often accurate, it’s important to consider additional factors when it comes to making decisions around a transition of the business’ ownership and leadership.
Considerations that should come into play include:
• Your child/children’s interest in working in the business
• Their potential ability to earn income from a different source
• The opportunity to sell the business at an advantageous price
• The ability to reduce the risk of the family’s dependence on a concentrated asset
• The time and emotional burden on the current generation of ownership
In short, creating a durable business succession plan comes down to what’s in the family’s long-term best interests.
Read more on Aspiriant’s blog fathom…
Aspiriant is one of the country’s most respected independent wealth management firms. Many clients have created successful companies that have a significant impact on society, which has given them financial freedom. Aspiriant provides context and clarity to make informed and intentional decisions. A business plan crafted for their families’ goals and legacies helps inform a very personal process. Unlike niche firms, Aspiriant gives clients access to experts in all areas of wealth management, including financial planning, investing, tax strategy, estate planning and more. Our specialists collaborate to orchestrate every aspect of our clients’ complex financial lives for generations. Learn more about the Aspiriant client experience at aspiriant.com.
Family Enterprise USA advocates for American Family business. We help family businesses communicate their challenges and contributions to American economic freedom to Legislators. We represent all American family businesses; not just specific industries and provide research to enhance the opportunity for success. We help family businesses continue to establish their unique business legacy. Family Enterprise USA is a 501(c)(3) non-profit organization.. Family foundations can donate.
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