Avoid Gap Shock by Preparing a Strong Personal Hedge

My mission is to advise business owners on how to achieve the strongest possible position for the sale of their business to outside or inside buyers. I can’t stress enough how important it is to have a strong and diverse Personal Hedge. Being prepared financially can eliminate the gap shock when it comes time for you to transition your business.

What is a Personal Hedge?
A Personal Hedge is the accumulation of assets outside your business that ultimately enables you to achieve the cash flow outcomes and desires you have regardless of the value of the business.

Your business may be the largest asset in your financial statement, but other personal assets also need to be identified and assigned a role in funding your retirement cash needs and legacy goals. Financial strength comes from diversification of financial assets and if your business is your primary asset, you are leaving yourself unnecessarily vulnerable.

What makes my mission satisfying is being able to show business owners how to take full advantage of the benefits of business ownership. This involves being aware of and leveraging unique planning opportunities available to private business owners, allowing the accumulation of assets outside of your business that ultimately enables you to achieve the cash flow outcomes and desires you have regardless of the value of the business.

Within your Ownership Conversion team, you will have access to a Certified Valuation Analyst (CVA), either as part of the team or as a resource to the team. It is critical that your team has access and information on all of your assets and liabilities, right down to the details of how any liquid assets are invested. All of this will be utilized to evaluate what needs to be done to support your Designed Destination.

Wealth preservation planning yields many benefits to you as a business owner when your estate plan and your Ownership Conversion Plan™ are directly coordinated from the beginning. Generally, they are not. However, if you start now, you can put your Designed Destination into action and be prepared for a more sound financial future.