Directions: Place a “Y” for yes and “N” for no at the end of each question.
Mistake # 1: “I know what my business is worth”
- Have I ever had my business value appraised by an outside resource?
- Do I have a formal buy sell agreement?
- Is my buy sell agreement funded?
- Has my buy sell agreement been reviewed within the last three years?
Mistake # 2: “I’m too busy running the company”
- Do I have a will and is it up to date?
- Do I have a plan to retain my key employees if something happens to me?
- Have I had my Trust & Estate Plan reviewed in the last 3 years?
- Are my assets protected from potential creditors?
Mistake # 3 : “That will never happen to me”
- Do I have a formal succession plan prepared and on file?
- Have I involved key employees and family in my succession planning?
- Have I identified and written down who I want to run the company?
- Do I have disability buy sell or overhead expense coverage?
Mistake # 4 “There’s plenty of time for that”
- Do I know when I want to retire?
- Do I know how much income I will need in retirement?
- Do I know how much control in the business I must maintain in order to secure my retirement income?
Mistake # 5: “My business is my retirement”
- Do I have substantial investments other than my business?
- Will my business account for less than 50% of my retirement planning?
- Have I created income from more than four sources outside my business?
- Have I had my retirement income projected to identify shortfalls?
Mistake # 6: “You can’t beat Uncle Sam”
- Have I determined and written down my financial goals?
- Will any sources of my retirement income be received tax free?
- Do I have an exit plan for my business and is it written down?