Leading Estate Planning Lawyer and founder of the Orland Park Law Office of Michael T. Huguelet, P.C., highlights a number of critical areas that entrepreneurs should focus on to protect their long-term business interests. For more information please visit "https://www.hugueletlaw.com
Orland Park, IL, United States - July 13, 2021 /MM-REB/ —
Small company owners are being urged to consider effective estate planning to protect their businesses and be in a better state of preparedness if they intend that their business be passed down to future generations, warned estate planning and Elder Law attorney Michael T. Huguelet.
For more information please visit https://www.hugueletlaw.com
The founder of the Orland Park Law Office of Michael T. Huguelet, P.C., highlighted a number of critical areas that entrepreneurs needed to focus on to protect their long-term business interests.
These include having an estate plan of action, insurance issues, and creating a succession plan.
“Seeking advice from an Estate Law attorney and developing an estate plan will ensure that if you die or become disabled and are unable to affect decision making independently, then a plan is in place to carry out your wishes,” he commented.
“Nowhere is this more important than family-owned businesses. It not only gives peace of mind but ensures that someone is there to take on the business. Without proper estate law planning, all the effort, time and money invested in creating and maintaining the family business could come to nothing.”
Mr. Huguelet said that when starting an estate plan, the need for good advice from an attorney specializing in that field should be the first step. They can advise on a multitude of issues and concerns an owner may have and offer the best way to simplify matters.
From the outset, a business owner should begin with drawing up a will and/or trust that outlines what they want for their business and how assets should be divided upon death.
Included in this should be a power of attorney that can manage your finances and business interests. Inserting a healthcare directive will enable someone of trust to make decisions for you if you become incapacitated.
He said that a will provides a structure that people can follow and prevents your business empire and assets from being fought over in court or divided up without your overview. One approach is placing assets into a trust and titling business assets in the trust’s name; you can make things much easier on your spouse.
Another key consideration is to address any tax issues that may arise. These can revolve around both federal and state-based estate and inheritance taxes. Your attorney can advise on how to minimize the impact of tax matters on your family, such as using multiple trusts.
Mr Huguelet said: “As part of the wider estate planning strategy, having life and disability insurance are musts for business owners as they provide ample cover for your family if you die and an income stream to the business to keep your company operating.”
Usually, a business owner will buy two different types of insurance: policies for the family as a beneficiary and policies with the business as the beneficiary.
Another key consideration is creating a succession plan, in which you specify who will take over your business should you die or become disabled.
Mr. Huguelet then turned to the most controversial aspect of any future planning for the business – the family. “Advisadly, conversations, difficult or otherwise, will need to be had to ensure a smooth transition of business ownership. There are a number of variables that need to be considered, alongside advice from your attorney on how best to approach this matter in the estate planning documents.”
Once an estate plan is created, the business owner should speak to all affected parties, stakeholders, and family members to make them aware of plans and wishes. “By being upfront and honest, it reduces the possibility of conflict between the different parties further down the line,” confirmed Mr. Huguelet.
Source: http://RecommendedExperts.biz
Contact Info:
Name: Michael T. Huguelet
Email: Send Email
Organization: Law Office of Michael T. Huguelet, PC
Address: (708) 852-0733
Phone: mth@hugueletlaw.com
Website: https://www.hugueletlaw.com
Source: MM-REB
Release ID: 89035367
