One of the reasons people choose to write estate plans is for protecting the people and things that are important to them. It’s no different for Arkansas residents who own businesses. Most want to ensure their estate planning paves the way for their businesses to continue without them, so there are some important things of which entrepreneurs should be aware when safeguarding their businesses as well as their loved ones. Savings and insurance are usually not enough, while comprehensive estate planning documents usually are.
There are a few documents that are necessary to safeguard a business: a financial power of attorney, a will and a living trust. They are essential for business owners to have in place for a successful business to continue to thrive after its owner is gone. Yet, many neglect to plan for the future in this way, according to a survey. A succession plan needs to be in place even for the smallest of businesses.
Many may think about wills and powers of attorney, but not many think about how trusts may benefit them. A living trust is important to have in case of unforeseen events, especially if a business owner dies unexpectedly. Having a trust will ensure that property won’t go through the court system, but rather through a trustee.
Not only do business owners have to think about their loved ones being left behind after they die, but also about their businesses. An estate planning attorney in Arkansas may be able to assist an entrepreneur in writing an estate plan that fits his or her individual needs. A lawyer can offer guidance as to what documents are necessary and explain why. Estate planning can be confusing and an attorney can help make it less so by providing answers to questions regarding estate planning areas of complexity.