There are many small business owners in Maryland. These business owners have spent years building their business and gaining customer support. Most business owners want to pass their business onto the next generation. Business continuity requires a succession plan.
Although many business owners may think that continuity planning is something that should be handled when an owner is near retirement, a business owner may find it beneficial to do it sooner.
A living trust and a will that specifies who will take over the business may alleviate any arguing at a later date. Having this established early on can allow a business owner to communicate with their successor and make sure everyone is on the same page.
A power of attorney should also be designated to nominate a fiduciary agent to act on a business owner’s behalf if they become incapacitated. In addition, transferring a business to a trust can avoid probate and seamlessly transfer the business to the designated beneficiaries.
A legal professional who specializes in estate planning can help a business owner plan out the succession. An attorney understands the value many place on keeping the business within the family and will offer suggestions that make sense for their client’s situation. Establishing a business succession plan in advance will ensure the business will continue for another generation. A business owner can gain peace of mind that their plan is in place and will be followed upon their retirement, incapacitation or death.
For many Maryland entrepreneurs, continuing their business with the next generation is important. With a careful plan in place a business owner can ensure this occurs if they become incapacitated or pass away.
