Many people in Redding and the surrounding communities of Shasta County, California, have spent their lifetimes growing their family business in to a reliable source of income.
In many cases, the family business is also a person's most valuable asset and, on a more personal level, the asset she would really love to see carry on in to the next generation.
Unfortunately, while family-owned businesses arguably make up the backbone of the American economy, they are relatively short-lived. Only 1 in 3 of them make a successful transition from one generation down to the next.
A good business succession plan can help a person ensure that his family business will be able to survive long after his death and, hopefully, bring financial prosperity to future generations.
As the name implies, the business succession plan is a detailed document that is supposed to help the owner or owners of a family business come up with a definite set of steps that will reduce conflict and give clear instructions as to who will be in charge, how financial decisions will work and the like.
The goal is to reduce the inevitable financial and organizational stress a business will experience in the process of a transition so that the business can survive and even thrive in the midst of a change.
Part of a good business succession plan is to be sure that the owners of the business have engaged in proper estate planning. A good estate plan will take in to account tax consequences as well as possible delays due to holdups in the probate process. A skilled California wills and trusts attorney can assist a business owner with putting together an estate plan that will fit nicely in to her overall business succession strategy.