Business succession planning is crucial for closely held corporations, partnerships and sole proprietorships.
Unexpected events, whether a serious illness or a dispute with a partner, can throw a business off course and force its owners to face a new reality. While nobody likes to contemplate these challenges, they are compounded if the business has failed to provide for a smooth transition to new ownership. As a result, most companies adopt a business succession plan, often called a buy-sell agreement.
At SunTrust, we’ve assisted hundreds of companies with succession planning. We‘ll work with you to put an agreement in place that addresses the interests of both a deceased owner’s heirs—and the surviving shareholders. The heirs are ensured a fair price for their benefactor’s stake in the business. The surviving owners, in turn, will be free to run the business unhindered.
Though primarily focused on future events, our business succession planning services offer tangible benefits right now. Lenders regard companies with succession plans as a better credit risk, and talented workers are more comfortable working for a company if they have confidence that their careers will not be interrupted in the event of an owner’s death.
SunTrust is uniquely qualified to help business owners with multi-generational plans. Our perspective, like our business, is for the long term. We can help you plan early and plan well—the best recipe for transition success.
Our succession planning specialists will help you identify and answer the many questions that are critical to an effective buy-sell agreement, such as:
- Who will buy the business interest?
- What event (such as death or disability) will trigger the sale?
- What will be the sale price?
- What are the precise terms of the sale?
We’ll then help you tailor a plan to match your company’s structure and future objectives. With a sound business succession plan in place, you will be prepared for any contingency.
To speak with a SunTrust representative call 800.321.1997.