Succession Plan

[Waxman]

My Succession Plan is coming along.

Basically it starts from the standpoint of 2 options; run the business 'as usual' or run business as preparation for sale.

I have decided to devote some time to creating this plan but limiting the time spent.

Some ACF members I plan to contact so that they may be a part of the succession plan.

 

[Whale of a Wash]

Are you OK??? You're still so young and good looking!!

 

[pitzerwm]

Everyone needs to think about an exit plan. Everything comes to an end, so whether the plan is in concrete or what if ideas, you need one. Also, IMO you need to have some plans in the event that you are not dead, but what I call half dead, unable to dictate your directions. A living trust with someone as successor trustee, that understands business and can follow your instructions until you are back or die.

The living trust also solves another issue, as you probably know a power of attorney stops upon your death, so a successor trustee (which could be the same person), can seamlessly keep the empire afloat.

Something else is that if your wife isn't a real part of your operation, don't assume that she can take over. When I took a Coast Guard boat safety course, I was surprised to learn that about 90% of the men that died in a boating accident did so because the wife couldn't operate the boat to save him.

Just because you are still bulletproof, doesn't mean something can't happen that would upset the apple cart.

 

[Waxman]

Are you OK??? You're still so young and good looking!!

Yes I am fine. I got the idea when I heard a story of a 'healthy' man in his 40's dropping dead only to have his wife struggle with the business afterward. He, of course, had no succession plan.

Like I said I do not want to put too much of my energy into the plans but rather make it compact yet thorough, just in case.

 

[MEP001]

Yes I am fine. I got the idea when I heard a story of a 'healthy' man in his 40's dropping dead only to have his wife struggle with the business afterward. He, of course, had no succession plan.

Happened to my last employer; worst part was that he didn't have a will, and his wife was forced to sell his businesses and put the money in a trust fund for their son because he owned them before they were married. She had to post a bond of $800k just to sign our paychecks - the guy that killed him driving an 18-wheeler stoned got out on $15,000 bail.