Over the past year, the importance of leadership at every level of a business has been emphasized. When a crisis such as a pandemic hits, it creates a sort of stress test for not only business owners and executives, but also supervisors of departments and work groups. Among the most important skill sets of any […]
Category: Succession
Assessing And Mitigating Key Person Risks
Auditing standards require a year-end risk assessment. One potential source of risk may be a small business’s reliance on the owner and other critical members of its management team. If a so-called “key person” unexpectedly becomes incapacitated or dies, it could disrupt day-to-day operations, alarm customers, lenders and suppliers, and drain working capital reserves. Common […]
Family Business Owners Must Weave Together Succession And Estate Planning
It’s been estimated that there are roughly 5 million family-owned businesses in the United States. Annually, these companies make substantial contributions to both employment figures and the gross domestic product. If you own a family business, one important issue to address is how to best weave together your succession plan with your estate plan. Rise to […]
How To Minimize Turnover In Your Accounting Department
The demand for qualified accounting and finance personnel has grown, as business owners struggle to manage unpredictable cash flows, increased costs, and new government policies and financial aid packages. Plus, the potential job market for these professionals has expanded, thanks to technological changes that now allow them to transcend geographic boundaries and work from virtually […]
Buy-Sell Agreements: A Smart Business Decision Also Makes Estate Planning Sense
Do you own a business with one or more individuals? Undoubtedly, your interest in the business represents a substantial part of your net worth and is likely your “pride and joy.” So it’s normal if your fondest wish is for the business to continue long after you’re gone or for you to keep it running […]
Avoid “Bad Blood” Among Family Members: Protect Your Will From Legal Challenges
You’ve probably seen it in the movies or on TV: A close-knit family gathers to find out what’s contained in the will of a wealthy patriarch or matriarch. When the terms are revealed, a niece, for example, benefits at the expense her uncle, causing a ruckus. This “bad blood” continues to boil between estranged family […]
Business Succession and Estate Planning: It Can Be Complicated
Transferring a family business to the next generation requires a delicate balancing act. Estate and succession planning strategies aren’t always compatible, and family members often have conflicting interests. By starting early and planning carefully, however, it’s possible to resolve these conflicts and transfer the business in a tax-efficient manner. Ownership vs. management succession One reason […]
Building the framework of your succession plan
At some point, we all must hang up our hard hats. But what will happen to your construction company when you retire? Or when you simply can’t work for an extended period, because of illness or injury? Having a succession plan in place is key to ensuring the business will go on. Even if you’re not […]
Attracting nonprofit execs with creative compensation mixes
The IRS’s reasonable compensation rule sometimes may seem like an obstacle to attracting and retaining qualified nonprofit executives. Although the rule is intended to prevent “private inurement” or “excess benefits,” it ultimately restricts what you can offer a candidate. Of course, some nonprofits simply don’t have the means — or their donors object to using […]
Should you pay board members?
Contrary to what many believe, it’s legal — and in some cases, necessary — to compensate nonprofit board members. For example, paying compensation can help attract well-known business leaders or people with specialized expertise. It might also be appropriate if board members are expected to invest significant time and effort in the role, or if […]