Buy-Sell Funding Critical to Business Continuity
Having a business partnership is like a marriage without the romance – there is a financial arrangement where partners share in the benefits and risks. Should one partner be unable (in the event of a premature death or disability, for example) or unwilling to continue with the business, a Buy-Sell agreement sets out how that partner’s interest is transferred. Think of a Buy-Sell agreement like a prenup – a blueprint to predetermine the sale or transfer of the company or an interest in it based on some specified future event, including the retirement of a partner or owner. It protects all partners and/or family members and provides certainty in the event an unexpected crisis necessitates a change in leadership.