Rogers Succession Planning Attorneys

Finding the Best Way to Transfer Your Family Business to Your Children

Minnesota is home to many family-owned businesses, whether it is a family farm, a flower shop, a manufacturing company or any business that you may own. Through the creative use of many different estate planning tools, families have been able to keep the business in the family without experiencing the many pitfalls of gift and estate taxes.

At Martin & Wagner, P.A., our experienced Rogers business succession planning lawyers assist families throughout Minnesota who are seeking the best way to handle their business succession concerns. From small family businesses to medium-sized corporations, we are here to help you create the right business succession plan for your family.

Your Business Succession Options

If you have a small or medium-sized business that you would like to leave to your children or other successors upon your death, it is important to speak with a lawyer experienced in both business law and estate planning to understand your options. Many business owners do not consider that, if a succession plan is not in place, your business could easily crumble almost over night. Proper planning can help preserve the value of your business by protecting it from the loss of a key employee and guide passing of ownership so it is not left to chance.

If you or one of your business partners dies without a business succession plan in place, the interest in the business passes to your/their heirs and you may suddenly find yourself in business with your partner's spouse or children or vice versa. Business succession planning is a critical strategy to help ensure that your business continues on after the death, disability or retirement of one of the partners in the business.

During your initial free 1/2 hour consultation with one of our business and estate planning attorneys, we will fully explain to you what your options are and what steps you should take to protect your business. Such steps can include:

• Change the structure of your business: If you are currently an unincorporated or informally structured business, we will look at the estate planning advantages of reforming your business as a Family Limited Partnership (FLP), a Limited Liability Partnership (LLP), a Limited Liability Company (LLC) or a Corporation. Each business type has different tax implications.
• Transfer interest in the business: You can begin to transfer small parts of your company to your children or other successor. The smaller the interest that you gift over, the more likely it will be that we can minimize estate tax consequences.
• Create a Will to handle the transfer: You can use one of many estate planning tools such as a Will to bequeath your business. This step can allow you to take advantage of certain exemptions and other benefits.
• Give someone authority to act in your absence: As much as death is an important event for which to plan, your incapacity due to illness or accident is just as important. It is important to have legal documentation in place giving another individual authority to conduct your business if you cannot.

After we assess your situation, we will help you determine which options are available to you. Regardless of the option you choose, it is very important to think about and prepare a comprehensive succession plan now so your business can continue to operate without interruption upon your death or incapacity. Explain your wishes to your successors and ensure that they understand the plan you have put in place to avoid litigation in the future.

Contact Our Minnesota Family Business and Estate Planning Lawyers

Before you take any definitive step toward business succession planning, speak with an experienced estate planning lawyer at Martin & Wagner, P.A. Contact our Rogers law firm online or call 763.515.8619 to schedule your free ½ hour consultation.

From our office in Rogers, Minnesota, we provide legal representation to clients throughout the Greater Metropolitan area, including Maple Grove, Albertville, Buffalo, St. Michael and other communities North and West of Minneapolis.