At Zinner, we regard ourselves as fortunate to have worked with several of the best multi-generational businesses in Northeast Ohio. It’s always rewarding to see a highly successful business passed into the hands of a willing and able successor who continues to lead it.
One of the fastest and most effective ways to gain momentum and market share is through the acquisition of a competitor. Acquiring a competitor has two distinct advantages – it allows you to eliminate competition; and it allows you to gain new products, customers and employees.
With an increasing number of baby boomers reaching retirement age, business owners are choosing to leave the workforce. This means the end of a partnership and a change in the way you do business.
Many closely-held business owners devote the majority of their lives to developing a successful business.
Therefore, as part of their estate planning strategy, small business owners want to ensure that the worth of their business is properly valued, especially if the business must be sold in order to pay estate taxes. If drafted properly, a buy-sell agreement is an effective tool that can be used to set the value of a closely-held business interest.
Read more from Deanna Alger, CPA
