Multi-Unit Franchisee Magazine Issue IV, 2012 | Page 74

Finance
By Steve LeFever

Estate Planning—Do It Now!
Putting your affairs in order starts today

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sk yourself this question: If I
died today, have I taken the
appropriate steps to provide
for the smooth and effective
transition of my business, and to protect
my family? If you talk to bank officers in
the trust departments of major commercial
banks, they will tell you horror stories of
business owners who died without an effective—or current—estate plan and left
the business in shambles and the family
with loose ends.
No matter what your perspective, estate
planning is a vital business function that
involves a series of steps. Furthermore,
these steps need to be repeated periodically depending on changes in the laws,
your family situation, and the evolution
of your business.
The estate planning process consists
of a series of decisions with the goal of
transferring assets to heirs with a minimum
of cost. It is a dynamic process with two
basic components: 1) accomplish stated
desires and objectives, and 2) minimize
the costs of transfer. As such, goals and
desires should always assume priority
over costs.
Consequently, the first responsibility
for the owner of a business is to determine
what will happen to the company upon
their death. The ɔ