The recent tax legislation dealing with the “fiscal cliff” included significant revisions to the estate tax law that will affect estate planning for the foreseeable future. These revisions include: The federal gift, estate and generation-skipping transfer tax provisions were made permanent as of December 31, 2012. This is great news because, for more than ten years, we have been planning with uncertainty under legislation that contained expiration dates. And while “permanent” in Washington only means that this is the law until Congress decides to change it, at least we now…Read More
Starting a business involves a certain amount of inherent risk. There are no guarantees that the founders of a company will get along, a product or service will sell, or market conditions or competitors will not create unforeseen problems. While entrepreneurs must be willing to take a leap of faith, there are steps they can take to reduce risk, both to the business and to themselves. When forming a business, entrepreneurs can choose a legal structure with limited liability. By legally separating the business from themselves, owners can at least…Read More
Some entrepreneurs love the challenge of starting a new business and creating everything from scratch. However, that may not be the best approach for everyone. Buying an existing business can eliminate the initial legwork of establishing a customer base, training employees, and securing start-up funding, but it is not without its own challenges. As a prospective business buyer, part of the challenge is figuring out exactly what you are buying. This requires proper due diligence with help from business, tax, and legal experts. Arriving at a fair purchase price and…Read More
