By any statistical measure, they’re the engine of Canada’s economy. Still, business owners get left out of the advice process.
Often, it’s because they’re too busy to seek advice or come in for regular meetings. That puts the onus on you to reach out and persuade them to make time.
If you need some inducements, point out careful planning allows them to shelter significant amounts of earnings within the corporation, and that income splitting rules let them shift even more assets to other family members.
And ensure you discuss succession planning. Most surveys indicate half or fewer of Canadian business owners have a workable succession plan, and that many simply presume a daughter or son will take over even if that child has never expressed interest in running the company.
Sorting succession is critical, especially if it leads the client to conclude a sale is the best option, because that path leads to a whole new crop of wealth management issues you’ll have to work closely with the client to resolve.
Helping clients move on from the company they’ve built can be daunting
Help women keep their companies after divorce
Today’s entrepreneurs are tomorrows millionaires – so hitch your practice to those rising stars
These planning strategies create opportunities for company owners
Entrepreneurs may form the engine of Canada’s economy, but often get short shrift when it comes to tax and estate planning
Clients who keep all their net worth tied up in companies for tax purposes, may miss investing opportunities
To their own peril, many entrepreneurs fail to look after their own futures
Families add layers of complexity to the succession process, and it’s the advisor’s job to sort it out
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