As a small business owner, you are constantly working to improve your standing in the industry. But have you thought about what will happen to your legacy once you’re no longer able to nurture it yourself? For your peace of mind, it pays to develop an estate law package for your company sooner than later. Use the following answers to these frequently asked questions to guide your planning process.

FAQ About Estate Law for Small Business Owners 

How can I ensure my business carries on?

If you’ve spent the last couple of years or decades building a name for yourself as a business owner, the continuation of your hard work is an important part of your legacy. To ensure your company isn’t shut down after your passing, create a succession plan that assigns specific roles to the individuals you believe could handle them. This will eliminate disagreements over your successor, whether you want to keep the business in the family or appoint someone based on merit. 

What if I’m not the only owner?

If you are a co- or part-owner of a small business, there will already be others in leadership positions to ensure the company continues. However, when your share becomes vacant, it could leave a void in the team that subjects the business to various struggles. Luckily, you can add a written agreement to your estate law package that estimates the value of your share and defines who can buy it once you pass. 

What if I don’t want another owner to take my place?

If you and the other owners of the small business would rather keep the company in its original hands, the surviving owners would have to come up with the money to buy your share. Luckily, you can simplify this transition by taking out a life insurance policy and naming the other owners as beneficiaries. Once you pass, they can use the payout to buy your share.

Can I automatically end my business when I pass?

If your business depends solely on your contributions, you may choose to establish an owner-dependent estate law package. This is often chosen by architects, doctors, and general contractors, who don’t have an interest in beginning a multi-generational company. While your business will close when you pass, you can increase its profitability while you’re alive by eliminating the need for payroll, training, and expanded workers’ compensation policies.

If you’re interested in working with an estate law expert who can help you establish a solid plan, get in touch with Schaller Campbell & Untied Attorneys of Newark, OH.  Since 1914, they have been providing clients with personalized legal representation in a wide range of practice areas. Whether you’re facing a personal injury, divorce, or employment law case, call them today at (740) 349-8505. You can also visit the website to learn more about their trusted work.