Strategies for effectively selling a business and Wealth Management

Andy Sanford and Rob Goodley are joined by Mitchell Livingston and Freddy Collins from Quilter Cheviot Wealth Management and discuss planning wealth management during the business sale process

Andy Sanford and Rob Goodley are joined by Mitchell Livingston and Freddy Collins from Quilter Cheviot Wealth Management and discuss planning wealth management during the business sale process is crucial for tax efficiency and financial stability post-sale

Key Insights

Early Wealth Management: Addressing wealth management pre-sale allows for more tax-efficient strategies and preserves inheritance tax relief, enhancing long-term financial health.
Risk Management in Investments: Entrepreneurs often misjudge the risk associated with their businesses. Having a separate investment portfolio acts as a financial safety net against business downturns.
Cash Flow Modeling: Implementing cash flow modeling before selling helps entrepreneurs understand their financial future, enabling informed decisions about gifting and living expenses post-sale.
Preparing for Sale: Entrepreneurs must clean up their business assets and ensure financial records are in order prior to a sale, which can significantly affect the transaction’s success.
Gifting Risks: Attempting to mitigate inheritance tax through excessive gifting can backfire, potentially compromising the seller’s lifestyle and financial stability.
Succession Planning: Early planning for the next generation’s involvement in the business can enhance continuity and ensure that successors are equipped to manage the enterprise effectively.