It never hurts to plan for the future, especially with estate planning, three Jonesboro area attorneys said Wednesday.
Jennifer Pierce, Scott Schallhorn and Trav Baxter with Mitchell, Williams, Selig, Gates and Woodyard spoke to the Jonesboro Regional Chamber of Commerce Power Breakfast about estate planning.
Schallhorn said most businesses do not plan for the future, while Baxter said some focus on running their operations instead of preparing for the future.
The three attorneys said the first step is to identify objectives, with the second step looking at the tools available to build a plan. The third step is a periodic review of the plan.
An appraisal can sometimes be needed as well as looking at needs and understanding who in the family is interested in working in the business. Many times, it can come down to family relationships and whether or not family members can get along, Baxter said. He also said another tip involves having the older generation in a business talking to younger family members to gauge interest in the business.
Pierce said creating dividend income for younger family members may be a way of getting them involved in the business. She added that getting younger people involved as early as possible can help get them interested.
Other factors at work in estate planning include:
- Basic probate work
- Well-structured powers of attorney
- Gifting assets
- Business planning with buy-sell agreements
- Annual reviews of estate plans