If you own a business, you know how it feels to live for that business. You also rely on it to support you and your family. So, what would happen if you suddenly became ill or injured and could no longer work? You need to think about the what-ifs.
The fact is, your loved ones may not have the skills or desire to run the business, and your co-owners may not welcome the idea of an unintended partner. Also, imagine the scenario where it is one of your co-owners who becomes permanently disabled and you’re faced with those choices.
That’s where a disability buy-sell plan comes in to play. This is an agreement among owners to buy out a co-owner’s share of the business in the event of a permanent disability. Here are four options for funding that agreement:
A very simple yet often overlooked strategy could have helped avoid the unfortunate end to the previously happy story. A buy/sell agreement is a legally binding clause in a partnership agreement that controls what happens to a small business if one of the partners dies or otherwise needs to leave the partnership.
Tell the truth—does your home office look a little untidy, cluttered, disorganized? Do you plan to get it under control as soon as you can find the time, but worry that the “time” will never come? If so, you’re not alone. According to the Bureau of Labor Statistics, 64 percent of self-employed people do at […]
In these rocky economic times, business owners have to make tough decisions to keep their businesses healthy and, hopefully, growing. Often when it comes to budget cutting and belt tightening, the first thing to go or to be cut back are employee benefits. I challenge you to think differently. Many businesses say that they value […]
If I asked you to ballpark the percentage of businesses in the U.S. that are small businesses, what would you say? 25%? 50%? Maybe 75%? The answer is actually astounding: It’s 99.7%, according to the U.S. Small Business Administration. And those businesses employ over half of all private-sector employees. Here are some additional statistics that […]