Buy Sell Agreement

A company unprepared for the sudden loss of an owner-manager risks considerable organizational upheaval and financial hardship that can threaten its survival. A Buy/Sell agreement allows the owners to consider how they want the business to proceed under a variety of circumstances, such a death, disability and retirement, spelling out the details and planning for the financial aspects of the transition. By doing this ahead of time, they can assure both business continuity and family security.

A buy-sell agreement should typically be structured to cover four situations:

• Death
• Retirement of a partner
• Termination of a partner, or
• The disability of a partner

Methods of Funding a Buy-Sell Agreement:

• Personal Funds of Buyers
• Sinking Fund in the Business
• Borrowed Funds
• Installment Payments to Heirs by Buyer
• Life Insurance
• Disability Insurance

Please contact us for more information and to help with your business planning needs.