Do you have a plan for your business if you unexpectedly die? It’s not fun to think about, but it’s necessary to prevent any mishaps from occurring. If you’re a business owner and you pass away suddenly, your estate becomes the new owner of your business. This means that if you have a will that includes your business, your executor is now responsible for your business, just as they are responsible for your estate. If you don’t, your business can end up sold or put in the hands of someone you might not have chosen if you were given a say. Surely, there is something more you want for your business once your time on Earth has ended. This is why including plans for your business in your estate plan is in your best interest.
Your Business Without a Will
When you leave your business without including it in your estate plan, whoever is left with control over it can now make decisions about what happens to it. If you don’t hand select this person and specify your wishes, this can be bad. It’s extremely possible that this will mean the end of your business, even if that’s not what you would have wanted. It can also give the person left in charge the power to sell and leave your family with nothing. There are too many bad unknowns when it comes to leaving something like this up in the air.
Your Business With a Will
When you do include your business, you make the decisions about what will happen to it when you die, instead of someone else. It’s important to choose someone you trust with your business to execute your will, and leave specific instructions and wishes so not to force your business and heirs into a confusing, difficult situation they aren’t equipped to handle. And, if you gift the business to a successor, you can avoid tax penalty. Your living trust can also save you money on taxes as well as avoid probate costs, all while keeping the details of the transition private. You may even decide to have someone take over the business for you, like a business partner, employee, or trusted family member or friend. If you’d just like the business sold to support your family, you can do that, too.
Obviously, these are all important decisions to make. If you want someone to take over your business, it’s necessary to talk with them and make sure you’re on the same page. They will need access to important information, instructions on how to properly operate your business, and much more in order to successfully carry on your legacy. You should also consider getting specialized business insurance, especially if your business has any significant amount of overhead expenses or debt. You wouldn’t want your loved ones to end up with a bunch of extra bills to pay on your behalf!
Protecting Your Business with Endowl
Luckily, Endowl makes this simple. With our app, you’ll be able to take care of everything. No need to worry about attorneys with hefty fees, complex communication, or disorganization. All of your wishes will be clearly defined, and your information will be protected and safe. Your successor can be added to your plan in a way that they will be able to get updates that involve them. This allows anyone involved with your business plan after your death to always know exactly what their role is in terms of your will.
When it comes to easy, efficient, and complete protection, there’s no better choice than Endowl. With us, your business will be completely taken care of after you pass, and all of your wishes will be fulfilled.