My Small Business Health Quiz - Part 2

0
Comments

 

"The question isn't who is going to let me, it's who is going to stop me.” - Ayn Rand

Even if "business is good" right now, part of our role is to help point out potential potholes along the future path for business-owner's.

Which is why I'm here to raise some questions for you.

It's a bit of a different approach than I normally take in my Strategy Note, but if you take it seriously ... it can be a transformative process.

Take a look at each of these questions, even if you are troubled by any of your answers--

Behm's Small Business Health Quiz

From part one...

#1: Is the value of your business firmly established?
[Buy/Sell Agreements]

#2: Is there an emergency plan?
[Will & Asset Protection Strategy]

#3: What happens next?
[Business Succession Plan, and more]

Now to the next questions...

#4: What are your retirement plans?

Questions to consider:

  • Do I know how much income I will actually need at retirement?
  • How much control in the business must I maintain to secure my retirement income?
  • Have I looked into financing options for key employees to buy me out?
  • Do I want to be running my business, full-time, five years from now?
  • Do I have contribution protection for my retirement if I were to become disabled?

Too many business owners view their business as their "retirement cash cow" ... but have not made serious plans for how it can BE that cash cow.

#5: Are all of your eggs in one basket?

Questions to consider:

  • Do I have reliable investments, other than my business?
  • Will my business assets account for less than 25% of my retirement plans?
  • In the past year, have I spent more than one hour planning my retirement?

If you haven't diversified your retirement income outside of your business, you could be in trouble.

#6: Is there a REAL tax strategy?

Consider these questions ...

  • Am I proactively planning to deal with tax law changes?
  • Have I determined my financial goals -- and how taxes will affect them?
  • Will I maximize my tax-free earnings in retirement (and before retirement)?
  • Do I have an exit plan for my business -- and is it written down?

Again, all of these issues always seem "procrastinate-able" on the front end ... but if you don't have a good answer to more than a couple of the above questions, you might be cruising for a financial bruising.

I'm grateful for our chance to serve you and your business thru these blogs -- and we are dedicated to its success, in every measure.

BE THE ROAR not the echo®

Warmly,

Janet Behm
Utah Real Estate Accountants
(801) 278-2700



Tags



Comments



Add a Comment: