Areas of Practice
Business Owner Exit Planning
Businesses in Central Oregon, Portland, and across the U.S. are experiencing the effects of the largest generational shift in recent history. By 2025, “echo boomers”-those born between 1978 and 1997-are expected to make up the bulk of the workforce at all levels, including business ownership. This reality underscores the need for effective exit planning for today’s business owners, allowing owners to capture the value of their businesses and exit on terms that are beneficial to ownership.
Meeting Your Goals
The attorneys at Lynch Conger LLP bring a methodology and experience necessary to help business owners achieve their individual exit objectives.
If your goal is to transfer your business to the next generation of family members, your plan may include formulating equivalent gifts to children who are not active in the business, or creating a plan that will minimize estate or gift taxes. Or, if your goal is to transfer your business to key employees (or to set up an employee-owned entity), we can create and facilitate a successful transfer process for you and your business.
If a merger or acquisition is your goal, we will counsel you on how to best prepare for this transition by assisting you with the selection of, and negotiation with, qualified buyers. If shareholders or co-owners are part of the equation, we can create and implement a buy/sell agreement between owners to control ownership transfer when certain events occur, such as death, disability, termination of employment, retirement, bankruptcy, divorce, sale or transfer to a third
party, or even disputes between owners. A well-crafted agreement can establish and protect rights among owners that do not otherwise exist in the company.
Some owners would like to see their employees have a continuing role in the company. Employee stock ownership plans (ESOPs) can be a very attractive and tax-favored alternative for such owners. ESOPs are popular for a number of reasons, including their flexibility as a source of liquidity for shareholders without the loss of control over governance or management that or the loss of a company’s unique culture that comes with the sale to a third party.
Owners should seek the advice of experienced legal counsel to determine the best fit, and create an exit plan that is most beneficial to them. Lynch Conger LLP can help. Contact us to set up an appointment.
For sound legal counsel on Business Owner Exit Planning,
contact us – We can help.