Business Succession Planning

Philanthropy; a Powerful Tool as Part of a Succession Plan or Outright Sale of a Business

Giving away money is easy, but doing it responsibly and effectively is hard. By creating a charitable fund within the context of the company, you can involve younger generations in those charitable decisions and delegate some of that work to them. This gives them the chance to develop leadership, critical thinking and interpersonal skills that can later be applied in the business.

An often overlooked planning technique is donating a part of your company ownership to a donor advised fund.  This may reduce capital gains tax on a subsequent sale and can help shift the balance of ownership among the remaining shareholders. It’s a wonderful planning technique, but it’s also a fairly complicated one that doesn’t fit every circumstance.

Contact a YouthBridge Philanthropy Adviser to learn more.