BLOG

Long-term business planning and budgeting are important to the ultimate success of a business. The creation of a long-term personal financial plan and investment strategy is critical to the success of the business owner.

Starting a new business can be an exciting prospect. However, securing capital to begin operations can often be frustrating and difficult. While there are a number of potential sources of financing available, typically, personal funds are one of the most common, primary sources of start-up capital.

Overly aggressive use of FLPs should not be suggested. There could be unwanted surprises for the unwary. Because the family limited partnership has become particularly popular as a tool for managing family enterprises, the use of an FLP should continue to remain attractive in possibly reducing the size of estates for tax purposes, while retaining control of the business operation.

Rather than striving to meet customer expectations, strive to exceed them in your quest to provide superior customer service. This high level of service can enhance your reputation, encourage repeat business, and motivate your employees, which can help to build and strengthen your company.

With a deferred compensation arrangement, you agree to continue an employee’s salary for a specified period of time after retirement. Although your company’s contribution to the plan is not currently tax deductible, deferrals grow tax free provided your company uses a tax-deferred funding vehicle, such as life insurance.

Implementing a program of sound ergonomic practices before problems occur can save thousands of dollars in workplace-related disorders and workers’ compensation premiums.

An estate planning team consisting of your attorney, accountant, and qualified financial professional can help you devise a business succession plan, including all the necessary documents and required information. There are established methods for a transition that will leave both your business and any successor management free from unnecessary worry.

The investment you made in your education and your ability to earn an income is invaluable. Disability income insurance can help protect a portion of your income, while other types of coverage can help protect your business, in the event of a disability

While determining the valuation of a closely held business may seem overwhelming at first, it may prove useful in estate and financial planning, as well as business succession planning. Because the valuation process is intricate and involves many variables, be sure to consult with qualified professionals.

Most businesses are unable to financially support a disabled owner or key employee, even for a short period of time. Thus, your business strategy should include the development of a disability income plan for the benefit of yourself and your business. In doing so, you will help protect your personal and business interests for the long term.