Running a business involves a lot of planning and decision-making, from managing day-to-day operations to thinking about the future. And if you’re a mom who runs a business, there are even more things to think about and organize. However, precisely because of all this, it’s crucial not to put off making a will. It’s not the most fun of things to think about, but if you’re a mom and a business owner, it can be one of the best things you can do for your family and any employees who might work for your business. With that in mind, here are some main reasons you need a will if you run a business.
Protect The Business
It’s highly likely that your business is one of your most important assets – perhaps the most important of all. Not only is it valuable in terms of money, but you’ll have put a lot of hard work into it and sacrificed a lot to make it work. The last thing you’ll want is for all that to disappear when you pass away because no one knows what to do with it or how to run the business at all.
When you speak to an estate lawyer and make a will, you can include all the information you’ll need to ensure your business can go on without you. You can choose who takes over, for example, or put the company into trust for your children or a trust beneficiary whom you believe will successfully run your business. On top of this, when you have a will in place that details precisely what needs to happen to your business, you’ll know that there will be minimal disruption to the business in the event of your death. Although this might not seem like an important thing to worry about, the fact is that disruption can be harmful, and even in a serious situation like this one, it’s best to minimize downtime.
Provide For Your Loved Ones
A will isn’t just about your business; it’s about taking care of your loved ones, and many business owners invest a large portion of their income back into their business. This can mean that there isn’t much money to leave to your children – perhaps you remortgaged the house or took out some loans to fund the business, for example.
When you talk to a professional estate lawyer and write a sensible will that considers all this, you can ensure your loved ones are provided for financially, even if a lot of money is in the business. You might even say in the will that the business should be sold – this can sometimes be the best choice, depending on your other assets, and it’s worth speaking to an expert to get all the information you need before making this kind of decision.
Reducing Tax Bills
It’s a sad fact, but there are often tax bills to pay when someone passes away, and this can cause a lot of financial problems for those left behind, which is bad enough in itself, but when you add it to the grieving process, it will feel overwhelming.
The great thing about writing a will is that you can use it to reduce tax bills by setting up trusts or making specific gifts. Not only can you help your loved ones, but you’ll also more than likely be able to protect your business simultaneously and make the most of your assets.
Jessi is the creative mind behind The Coffee Mom, a popular blog that combines parenting advice, travel tips, and a love for all things Disney. As a trusted Disney influencer and passionate storyteller, Jessi’s authentic insights and relatable content resonate with readers worldwide.