One problem faced by owners of many non-publicly traded businesses is that there is no readily available market to sell their business. Business succession planning addresses this issue by devising a system for transferring the value of a business to the owner, heirs or others at an appropriate time and price while allowing for the continuity of the business.
Perhaps the most common business succession tool is a buy-sell agreement which provides for the mandatory or optional buy-out of an owner’s interest in the event of retirement, death, disability, divorce, bankruptcy, termination of employment, offers by outside parties, or disputes among owners. While the buy-sell agreement is one of the more common succession planning tools, we can also counsel clients on other pro-active strategies to protect value and continuity. Our business attorneys can assist owners in developing a strategy uniquely tailored to their business succession needs and goals.