Business Succession
Your business represents years of hard work and sacrifice. Do not leave its future to chance. Our experienced attorneys help business owners develop and implement succession plans that preserve value, minimize taxes, and ensure smooth transitions to the next generation or new ownership.
Secure Your Business Legacy
Business succession planning is about more than just legal documents—it is about preserving what you have built and ensuring a smooth transition when the time comes. At Texas Estate Attorneys, we work closely with business owners to understand their goals, evaluate options, and implement comprehensive plans that protect both the business and the family.
“What sets Texas Estate Attorneys apart is our personalized approach to legal representation. We understand that every case is unique, and we take the time to understand your specific needs and goals.”
Matthew Sanderson
Founding Attorney
Planning for Every Scenario
Protect What You Built
Whether you plan to pass the business to family, sell to employees, or find an outside buyer, we help you prepare for all possibilities. Our comprehensive approach addresses planned transitions and unexpected events, ensuring your business continues to thrive regardless of what happens.
Succession Services
Family Business Transfers
Transferring a business to the next generation requires careful planning to balance fairness among heirs, minimize taxes, and ensure business continuity. We help families navigate the emotional and legal complexities of keeping the business in the family.
Buy-Sell Agreements
A well-drafted buy-sell agreement protects all owners by establishing clear terms for ownership transfers. We create agreements that address death, disability, retirement, divorce, and voluntary departures—funded with appropriate insurance and financing structures.
Exit Strategy Development
Whether you plan to sell to a third party, transition to employees, or gradually retire, having a clear exit strategy is essential. We help business owners develop and implement plans that maximize value and achieve personal goals.
Tax-Efficient Transfers
Business transfers can trigger significant gift and estate taxes without proper planning. We implement strategies like grantor retained annuity trusts (GRATs), installment sales, and family limited partnerships to minimize tax impact while achieving transfer goals.
Key Employee Retention
Your key employees are essential to business value and continuity. We help implement retention strategies including deferred compensation plans, phantom stock, and employment agreements that keep critical talent in place through transitions.
Business Valuation Coordination
Accurate business valuation is critical for succession planning, buy-sell agreements, and tax purposes. We coordinate with qualified appraisers and help you understand valuation concepts and apply appropriate discounts.
Entity Restructuring
The right business entity structure can facilitate succession and provide tax advantages. We evaluate your current structure and recommend changes—such as converting to an S-corp or establishing holding companies—that support your succession goals.
Successor Development
Identifying and developing successors takes time and intentional effort. We help you create plans for gradually transitioning management responsibility and ownership while maintaining business stability and family harmony.
Contingency Planning
What happens if you become disabled or die unexpectedly? We help create emergency succession plans that address worst-case scenarios, ensuring your business and family are protected even if the unexpected occurs.
Frequently Asked Questions
Business succession planning is the process of preparing for the transfer of business ownership and management to the next generation or other successors. It involves identifying successors, structuring the transfer, minimizing taxes, and ensuring business continuity. Good planning preserves business value and family harmony.
The earlier, the better—ideally 5-10 years before you plan to exit. Early planning allows time to groom successors, optimize business value, implement tax-efficient transfer strategies, and address unexpected events. Even if retirement seems distant, having a plan in place protects your business and family.
A buy-sell agreement is a legally binding contract between business co-owners that determines what happens to ownership interests upon certain triggering events like death, disability, retirement, or divorce. It establishes the terms, price, and funding mechanism for buying out an owner's interest.
Several strategies can reduce transfer taxes: gifting shares over time using annual gift tax exclusions, establishing grantor trusts, using family limited partnerships, implementing employee stock ownership plans (ESOPs), and taking advantage of valuation discounts. The right approach depends on your business structure and goals.
Many business owners face this situation. Options include selling to key employees (perhaps through an ESOP), selling to a third party, merging with another company, or gradually winding down. We help you evaluate alternatives and implement a plan that achieves your financial and legacy goals.
Plan Your Business Transition
Every case is different. Past results do not guarantee future outcomes.