Dear Friend,

Starting a new business is one of the most exciting (and terrifying) things you can do. You’re chasing a dream, building something of your own, and putting in countless hours to make it succeed. But the truth no one talks about is that along with the rewards, business ownership brings risk—and not just for your business, but for your family and personal assets as well.

Have you thought about what would happen to your business, your finances, and your loved ones if something unexpected happened to you? If you’re like most new entrepreneurs, estate planning might be the last thing on your mind. But ignoring it could mean putting everything you’re working so hard to build at risk.

Let’s dive into why an estate plan is essential for every new business owner and how it can protect your business, your family, and your future.

 

The Risk of “What If”

Starting a business requires wearing many hats, but most entrepreneurs overlook one critical role: protector. You’re not just building a company—you’re creating an asset. What happens if life throws you a curveball? What if an accident, illness, or worse leaves you unable to run your business? Who takes over? What happens to your income, your employees, or your clients?

Without an estate plan, these questions could lead to chaos. Your business—and the financial security of your loved ones—could fall apart in a matter of weeks. Don’t leave it to chance.

Why Entrepreneurs Need an Estate Plan

  1. Protect Your Business and Its Future

Your business is likely your most valuable asset. An estate plan ensures that your company doesn’t grind to a halt if something happens to you. It creates a clear roadmap for what happens next:

  • Who will run the business in your absence?
  • Will your business be sold, and if so, who benefits from the proceeds?
  • How will your employees and clients be taken care of?

Imagine this: Sarah was the sole owner of a thriving bakery. When she unexpectedly passed away, her business had no contingency plan. Her family didn’t know how to manage payroll or orders, and without direction, the bakery was forced to close—leaving Sarah’s dream, employees, and income in ruins. A simple estate plan could have kept her business running smoothly during this difficult time.

  1. Shield Your Personal Assets from Business Liabilities

Running a business comes with financial risks. Without proper planning, those risks could spill over into your personal life. If your business faces a lawsuit or bankruptcy, your personal assets—like your home or savings—could be at stake. Estate planning, combined with proper business structuring (like forming an LLC or corporation), creates a protective barrier that keeps your personal wealth off-limits to creditors or legal claims.

  1. Ensure Your Family is Taken Care Of

As a business owner, your income likely supports your family. Without a plan, that income could disappear overnight if you’re no longer there to manage the company. An estate plan:

  • Provides a financial safety net for your spouse and children.
  • Outlines how your business assets will be used to support your family.
  • Includes life insurance or other tools to replace lost income.

Think about the peace of mind this provides. Instead of worrying about what might happen, you can focus on growing your business, knowing your loved ones are secure.

  1. Avoid Probate and Minimize Taxes

If you pass away without an estate plan, your business assets will likely go through probate—a lengthy, expensive, and public process that could tie up your company’s operations. On top of that, your estate could face significant taxes, further draining your hard-earned wealth.

Estate planning helps you avoid these pitfalls. By setting up a trust or other legal tools, you can keep your business out of probate, reduce taxes, and ensure that your assets are distributed according to your wishes—not the state’s default rules.

  1. Plan for Succession

Every business owner needs a succession plan. Whether you plan to pass your business to a family member, sell it to a partner, or groom an employee to take over, an estate plan outlines the “what, how, and when” of this transition. Without it, your business could face disputes, confusion, or even collapse.

For example, John ran a successful landscaping business but never discussed succession planning. When he passed unexpectedly, his two sons argued over who should take control. The disagreement escalated, and the business folded. A clear estate plan could have prevented this outcome by defining exactly how the business would be managed or sold.

 

Take Action Today to Protect Your Dream

Estate planning isn’t just for the wealthy or the elderly. It’s for anyone who has something to protect—and as a new entrepreneur, you have a lot to protect. Your business, your family, and your future depend on it.

Let’s create a plan that ensures your business thrives, your loved ones are secure, and your hard work doesn’t go to waste. Call my office at 770-285-5493 to schedule a consultation. Together, we’ll build a plan that gives you peace of mind and lets you focus on what you do best: growing your business.

Sincerely and Thanks,

Mike

Mike Bascom

Bascom Law, PC

Estate Planning & Elder Law