Family-Owned Businesses & Farms
Learn more about the various planning options that MVP Law Group can provide. Contact us today for a Free Consultation to learn more!
FAMILY OWNED BUSINESSES & FARMS OPTIONS
Family business owners, farmers, ranchers and landowners face unique challenges surrounding how to preserve the family business or farm—a symbol of their heritage. Sadly, over 70 percent of all family businesses don’t survive the transition to the next generation. Estate taxes play a significant role in that problem.
However, estate taxes aren’t the only costs chewing up assets passed from one generation to the next. Probate fees and other settlement expenses can significantly reduce an owner’s legacy. On top of that are the problems surrounding the fair distribution of those assets to heirs.
LAND RICH, CASH POOR
The typical farm family is land rich, cash poor. With hundreds of thousands, if not millions, of dollars locked up in equipment, livestock, structures and land, the net worth may be impressive. But when you look at the cash flow, it’s another story entirely.
Estate taxes will be based on the current market value of all your assets. If your heirs can’t readily come up with the cash from other sources, they may have no recourse but to sell the farm just to pay estate taxes and other settlement costs.
ESTATE PLANNING SOLUTIONS
Your farm or business poses two estate planning challenges:
How can you preserve it so that you can pass it on intact to the next generation
How will you equitably distribute it among your heirs.
Achieving these two goals means planning in advance for such expenses as estate taxes, as well as implementing strategies that give you maximum control over how, when, and to whom ownership of your farm transfers. Contact our office for more information about your options.
How MVP Law Group can help!
Problems arise when people don’t coordinate all of the correct methods of passing on their estate. If you have a well-drafted estate plan in place, you will ensure that your estate passes to whom you want, when you want, and is carried out in the manner you’ve chosen. You can rest assured that your family won’t have to endure the public process and costly matter of probate. The government won’t be able to take what you’ve spent a lifetime building. But you need to be aware of the many options that exist in estate planning – and you must choose your estate planning attorney wisely.
We offer a wealth of free information and free estate planning seminars in our area. Explore the resources available on our website or join us for a free Estate Planning Seminar.
We want you to feel confident about the choices you make – let us be your guide on the path toward preserving your family’s future.