Life Transition Case Study

Business Owners

Transition from Business Owner to Next Phase in Life.

The bulk of my wealth is tied up in my business, and I know it cannot be left to risk. How can I transition from being a business owner to my next phase in life on my own terms?

The Situation:

  • Tom, age 60, and Jane, age 63
  • The husband and wife operate a successful business with an approximate market value of $8 million

Tom and Jane built their business from the ground up with a lot of good ideas, skill and sacrifice over 35 years. They still have passion for the business, but Tom’s scare with cancer two years ago made them realize it’s time to slow down. They want to start doing what they want to do versus what their business demands of them. Traveling, spending time with their grandchildren and being more involved in the community have taken higher priority in their lives. Being in their early 60s, they realize that moving on to the next phase in life and out of the business is going to be much more complex and challenging than it was to start their business 35 years ago.

How do Tom and Jane make the best decision that will take care of their loyal employees while also providing a satisfying retirement?

The Solution:

In this situation Payne Wealth Partners would craft a written plan that evaluates six different exit strategies and how they impacted the new journey Tom and Jane were about to experience in retirement. They would also able to compare how each plan would take care of their employees. Being able to evaluate the different exit choices would help the couple understand how each would (or would not) satisfy their financial, personal and emotional needs. An ongoing review and structured development of next steps would give them confidence that they would maintain control of their future.

Payne Wealth Partners would help Tom and Jane succeed in this situation with the recommended steps:

  • Performing a complete business exit analysis to evaluate Tom and Jane’s options
  • Determining amount needed from the sale of the business to satisfy their post-exit needs
  • Examining and assessing the outcome of various options for employees
  • Helping address the emotional impact of selling their business
Disclaimer – These case studies are for illustrative purposes only. They are not based on a particular client’s circumstances and are not personal advice. As this information has been prepared without considering your objectives, financial situation or needs, you should consider its appropriateness to your circumstances. You should seek assistance from your financial adviser before acting on this information.


CASE STUDIES

Life Transition

The bulk of my wealth is tied up in my business, and I know it cannot be left to risk. How can I transition from being a business owner to my next phase in life on my own terms?

Cash Flow Management

Determining how to prioritize cash is perplexing considering all we are balancing: college funding, maintaining a comfortable lifestyle, preparing for retirement, making debt payments for our business and real estate loans and keeping cash available for projects to help our business continue to grow.

Service Business Exit

My business is service related, and I am worried when it comes to retiring there won’t be an option to sell the business or transition it to new owners. How can I ensure I am financially ready for retirement independent of my business entity?

Let us help guide you on the journey to your Best Life and leaving a Powerful Legacy…

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Life Transition Case Study June 20, 2012

Contact Our Offices

Payne Wealth Partners, Inc.
Keystone Financial Consulting
601 N Cross Pointe Blvd
Evansville, IN 47715
Phone: 812-477-6221
Toll Free: 888-477-6221
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