Legacy

You have choices. Sometimes the choices can be overwhelming and sometimes they are crystal clear.

Your options include:

  • Retaining ownership while transitioning out of management
  • Succession planning for ownership and management (they’re separate and distinct)
  • Creating structures to protect wealth
  • Sale of business assets to family or employees (non-strategic buyers) or to competitors or consolidators (strategic buyers)
  • Risk management to proactively protect business value and wealth

Succession Planning for Owner/Managers

Key steps in succession planning:

  • Clarifying your strategic position, direction and drivers
  • Maximizing profits and cash flow – you can save taxes later (valuation is based on multiples of earnings so an extra dollar of earnings can generate an extra three or ten dollars of value)
  • Creating an organizational chart for five or ten years into the future so that you can identify key positions and people for management succession
  • Analyzing the value drivers in your business so that you can create structures (legal, operational) that can enhance strategic disposition of assets
  • Formalizing management processes
  • Protecting intellectual property

Phil facilitated [bringing in our new ownership team]. He helped me with it from start to finish, facilitated the entire process… and not only that, he took on roles himself. He brought us the right people at the right time to help.

Ewen Morrison, EMW Industrial 

Structuring your Business to Create and Protect Wealth

We believe in protecting wealth across families and generations.

What if…you didn’t have to work in your business, the business ran itself, and it generated sufficient cash flow for you and your family in the future?

Many business owners sell their business for health reasons, and the number one reason is they’re sick of their business. We can fix that.

Short-term solutions include strengthening your management team, implementing business information systems and transitioning key roles to others. Long-term solutions include setting up operating companies, holding companies, family trusts and utilizing all sorts of financial products such as insurance and investments.

We are the quarterbacks to your long-term financial plans and work closely with your advisors including your tax specialist, accountant, lawyer, financial planner, insurance advisor and others to help you structure and implement wealth creating strategies.

Our financial worth has increased substantially. Phil showed us how to set up a holding company and a family trust. We didn’t know that those were options. Our accountant was good, but he only ever directly answered our questions. He never made suggestions, and that’s what Phil does for us.

Teresa Hensrud, Industrial Scale

Family Business

A well run family business runs like a business, not like a family. Separating family roles from business roles can be difficult but is critical for success. The business needs the best person for the role in order to maximize business performance and increase your wealth. Phil can help you to “professionalize management” so that you can strengthen the business and provide real opportunities for family members and all employees to grow.

About CAFÉ (Canadian Assoc. of Family Enterprises)

Canadian Association of Family Enterprises, or CAFE, is an organization where families in business share their experiences of owning and operating multi-generation family businesses while preserving—and strengthening—family relationships and family wealth.