Step back and plan ahead. You and your business will thank you.

Planning for your Business’ Future

If you’re running your own business, you likely know that a financial advisor can help you plan for taxes, provide benefits for your employees, and protect you and your loved ones with insurance. But did you know that they can also help you with succession planning?

“When I meet with business owners, the first thing I ask is if they have a plan for retirement,” says Sarb Sangha, Wealth Management Specialist at Prospera Credit Union. “In my experience, many business owners don’t think about this stuff until they’re ready to retire, as opposed to 10 years in advance, and then it’s almost too late.”

In fact, the Canadian Federation of Independent Business (CFIB) says that nearly three quarters of small business owners plan to exit their business within the next 10 years, and 51 per cent of them have no plan at all for their business when they retire.

As the owner of a small business you’re very busy, but it pays to step back and plan for your financial future. Take the time to forecast, plan, and budget. The more successful the business, the more planning needs it has.

“A lot of times there are situations where a business is doing so good, the owners aren’t thinking about succession planning or protecting their wealth,” says Sarb. “Planning ahead is important, and a few ways you can do that are by: funding an insurance policy in advance, understanding your tax options and sitting down with a Wealth Management Specialist to build a financial roadmap.”

A good succession plan will help the transfer of your business go smoothly and allow you to maintain the good relationships you have with your employees and partners. According to the Government of Canada, it also helps you:

  • Protect your legacy
  • Build value for your business
  • Deal with unexpected events

At Prospera, advisors take a collaborative approach, bringing in specialists for different situations. “My role in this is to help orchestrate a succession plan,” says Bryan Ference, Prospera’s Family & Business Insurance Specialist. “What are your income goals after retirement? Do you have someone lined up to buy your business? The key here is to work towards your goal and not wait for someone to show up with an offer.”

You worked hard on building your business from the ground up, so take the time to ensure you have a plan and are set for the future. Whether your plans are to transfer ownership or sell your business before retirement, you will have decisions to make; plan for the transition today.

Comments are closed

Just Posted

Festival goers at the 27th annual Roots and Blues Festival

The Observer asked: Where are you from and what brought you to the festival?

Mistake-riddled offence leads to first loss for Okanagan Sun

The Sun lost to the Westshore Rebels 16-13

Fire departments extinguish suspicious wildfire near West Kelowna

Crews established a fire guard and knocked down the blaze before it grew to one hectare.

15-year-old boy drowns after midnight jump into Okangan Lake

The RCMP and BC Coroners Service are investigating the drowning.

Letter: LGBTQ2 are part of ‘our’ Canada

“It is all of our taxes that pay for all of us.”

70 years of lifting: Canadian man, 85, could cinch weightlifting championship

The senior gym junkie is on track to win the World Masters Weightlifting championship

Advocates ‘internationalize’ the fight to free Raif Badawi from Saudi prison

Raif Badawi was arrested on June 17, 2012, and was later sentenced to 1,000 lashes and 10 years in jail for his online criticism of Saudi clerics

Okanagan climate advocacy group protests against Tolko

Group to demonstrate outside Vernon head office Monday over plan to log close to water supply

RCMP, search crews hunt for 4-year-old boy missing near Mackenzie

George went missing early Saturday afternoon

Okanagan Cultural Connections live venue tour kicks off in Vernon

Two dozen promoters, national booking agents, and music reps to visit venues from Vernon to Oliver

Canadian entrepreneurs turning beer byproduct into bread, cookies and profits

Some breweries turn to entrepreneurs looking to turn spent grain into treats for people and their pets

Canada ‘disappointed’ terror suspect’s British citizenship revoked

Jack Letts, who was dubbed “Jihadi Jack” by the U.K. media, has been detained in a Kurdish prison for about two years

Fire departments extinguish suspicious wildfire near West Kelowna

Crews established a fire guard and knocked down the blaze before it grew to one hectare.

Most Read