Planning for the future is critical for every adult who owns assets in Florida. However, it is especially paramount for those who own businesses. Here is a glimpse at four important components of comprehensive estate planning for business owners.
First, creating a will is important, as it provides clear directions to the will’s executor about the proper way in which to distribute or manage assets when the asset owner passes away. A revocable trust is another valuable component of an estate plan. The purpose of this legal entity is to hold a person’s assets while he or she is alive. Then, an appointed trustee may take over managing the assets if the asset owner becomes incapacitated.
Two other important estate planning tools are two kinds of powers of attorney. The first is a health care version, which allows a person’s representative to make important medical decisions on his or her behalf in the event of incapacitation. The second is a financial version, which allows a person’s representative to pay bills as well as manage his or her finances during a period of incapacitation.
By creating an estate plan, a business owner in Florida essentially builds protection into his or her business plan. This is a critical move for safeguarding the business owner’s partners, employees, customers and family. An estate planning attorney can help business owners to develop well-thought-out estate plans so that these owners’ goals and wishes will be upheld in the event of their deaths in the Sunshine State.