Business Succession Planning

Business Succession Planning

Business succession planning is essential to the future of your life’s work – your business. A business succession plan involves issues of ownership, management, and tax savings to create a smooth transition of your business to future owners. The existence of a succession plan sends the message that you’re committed to your business’ long-term growth and assures the confidence of your customers, lenders, employees, and key suppliers.

The concerns facing business owners are unique – we respond by creating plans that will adapt to the changes you will inevitably encounter. Whether your situation is straightforward or complex, our attorneys are able to implement creative and flexible strategies to fulfill your personal and business needs. We will work closely with you to discover your personal goals and objectives, identify potential pitfalls, and develop innovative solutions.

For over 80 years, our attorneys have counseled business owners and families on various succession strategies designed to maximize business value and minimize state and federal taxes. Specific services include:

  • Buy-sell contracts (cross-purchase or entity repurchase)
  • Employee stock ownership plans (ESOPs)
  • Merger/sales to third parties on a taxable, tax-deferred or tax-free basis through one-on-one negotiations, controlled auction and broader auction
  • Stock option and restrictive stock plans for key employees
  • Gifting and other techniques with family members, including installment sales, grantor retained annuity trusts, redemptions, installment sales to grantor trusts, insurance trusts and other like arrangements
  • Recapitalizations to create preferred or nonvoting stock
  • Recapitalizations to extract value with a simultaneous investment by an investor
  • Long-term employment arrangements
  • Deferred compensation and salary continuation plans
  • Ownership of business assets outside the business entity (e.g., intellectual property or real estate)

Our attorneys encourage a team approach and will work directly with your accountant, financial planner, life insurance agent, and other professional advisors to ensure the various components of your succession plan are properly integrated.

Founded in 1920, Ruder Ware provides business, employment, estate planning, and litigation services through its offices in Wausau, Eau Claire, and Green Bay, Wisconsin.  A full-service law firm, over 40 attorneys provide clients with a one-stop approach to their legal needs. Ruder Ware, Business Attorneys for Business Success.

Proposed Gift and Estate Tax Changes Mean Some May Need to Act Now

Posted on April 9, 2021 by and

In the United States Congress, there is an arduous journey before a bill becomes law.  See the classic School House Rock! video, “I’m Just a Bill.”  But there is a common theme running through some gift and estate tax bills that have been introduced in Congress this year.  That is: an appropriate way to raise […]

Adult Guardianship 101

Posted on March 17, 2021 by

Our team here at Ruder Ware has focused previous blogs and other educational materials on ways to avoid adult guardianship (see Related Articles section at the end of my post); however, there may be some instances where guardianship is unavoidable.  Earlier this month, I attempted to simplify the guardianship process in my vlog.  This blog […]

What is the Estate Tax and How Does it Work?

Posted on February 17, 2021 by

Earlier this month, I provided a very brief overview of the estate tax in a vlog.  You can view the vlog here.  In this blog post, I’ll expand on estate tax basics. What is the estate tax?  At its foundation, the estate tax is a tax imposed on the transfer of property upon death.  It […]

Stimulus Payments: When Should I File My 2020 Taxes?

Posted on February 11, 2021 by

With Congress still negotiating a third round of stimulus payments, you should carefully consider when to file your taxes this tax season.  Tax season begins February 12th and ends April 15th.  Filing your taxes earlier or later within that time period may determine whether or not you receive the third stimulus payment and how much […]

Holiday Giving: Will My Gifts Have Tax Consequences?

Posted on December 14, 2020 by

The holiday season is a time of giving! With Christmas arriving next week, you might be rushing to find last minute gifts for the special people in your life. Have you considered potential tax consequences of those gifts? The annual gift exclusion for 2020 is $15,000. This means that an individual donor may gift $15,000 […]

Peter, Paul, and Mary Should Make Large Gifts – Now!

Posted on July 30, 2020 by , and

Peter, Paul, and Mary have done well for themselves. Each has a nice home, a seasonal residence, and a large IRA. Coincidentally, each also has an additional $11 million worth of real estate, savings, brokerage accounts, and closely-held business interests. We advised Peter, Paul, and Mary that in 2020 each has a federal gift and […]

IRS Provides More Retirement Plan and IRA Relief

Posted on June 24, 2020 by

Yesterday, the IRS issued additional guidance regarding two hot topics over the last six months: the waiver of the 2020 required minimum distributions (RMDs) from retirement plans and IRAs, and the change in the required beginning date for RMDs from age 70 ½ to age 72. Extension and Expansion of 60-Day Rollover for 2020 RMDs […]

Why SECURE Act Matters to You

Posted on May 30, 2020 by

The SECURE Act, a federal law enacted on December 20, 2019, made significant changes to how retirement assets, including 401(k) plans and other IRA’s, are treated both during our lives and for our beneficiaries after death. This article will briefly summarize the aspects of the Act that likely matter most to you. During Your Life […]

IRS Provides Information on Where to Send Deceased Individual’s Stimulus Check

Posted on May 7, 2020 by

On the same day we published the article My Deceased Family Member Received a COVID-19 Stimulus Check, Now What? the IRS provided guidance on how to return stimulus payments that were made under the CARES Act to deceased individuals. If your deceased family member or relative received a paper check by mail, you should follow these […]

My Deceased Family Member Received a COVID-19 Stimulus Check, Now What?

Posted on May 6, 2020 by

There has been significant publicity surrounding the issue of deceased individuals receiving stimulus checks under the CARES Act.  It is far more common than you may think, simply because of the speed in which our government operated to send out the payments.  The stimulus checks were issued to individuals that met certain income requirements and […]

More Insights...