Fiction: It will be simple to pass my business onto my family so they can continue to grow my legacy.
© Copyright 2014 Commonwealth Financial Network
Fact: The odds do not favor intergenerational longevity. According to the Small Business Administration, only 30 percent of the country's 21 million family-owned small businesses make it to the second generation, and a mere 15 percent make it to the third. Transferring a business within a family raises a host of complex financial, estate, tax, and legal considerations—underscoring the importance of planning ahead. Developing a formal succession plan can help you address these issues up front, so your family isn't left in a bind later.
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