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| Family Businesses - Dealing with Problems & ChallengesBy: Chan & Naylor Making financial decisions between the generations All too often the founding generation of a family business will have a very different financial approach to the younger generations that are following in their footsteps. This can cause tension and obstacles in the day-to-ray running of the organisation. Your Sydney business accountant can provide impartial advice based purely on the numbers rather than emotions for those big financial decisions, for example whether to invest in product development or team expansion. Retirement planning Retirement planning is a very common financial issue when it comes to family businesses. The challenge is in arranging the business's finances over time so that the founder can enjoy a long and comfortable retirement without taking vital resources away from the ongoing business. There are also plenty of ways to structure savings and retirement funds so the business isn't paying more tax than is necessary. It is never too early to start retirement planning for all generations within a family business with your financial planner. Succession planning The founder of a family business has worked hard to build up the equity in that company, but around 70% of family businesses fail or sell before they are passed onto the next generation. It's good business to spend time planning the steps to succession so that the business won't be negatively impacted by a handover. The sooner you speak with your legal and financial specialists about this, the better. Asset protection When a family business has created wealth, there are almost always questions of how to protect those assets. This includes not only carefully positioning legal ownership to safeguard assets against liability, but also taking care with tax planning and business structures such as trusts. It's worth speaking with your family asset protection company (http://www.chan- Formalising business plans and financial matters It's all too easy to make informal plans within a family business, but this can commonly lead to misunderstandings, frustration and uncertainty. Your financial planner and accountant can assist with written strategies and clear plans so everyone is kept informed and working towards the same goals. Communication and clarity is key in any family business – quite often, simply addressing the challenge or concern objectively will smooth any ruffled feathers and provide the pathway to growth for the company. What can you do? If you would like to know more about how you can protect your assets, visit the Chan & Naylor website. You can leave your details and we can schedule you for a free consultation. We'll contact you to explain more. Whether you are a beginner, seasoned investor or business owner, we can give you guidance to maximise the financial areas of your life. We can give you an integrated and tailored solution of your superannuation, taxation, property investment, asset protection, estate planning and more. Schedule a chat or call any of our local offices near you. If you like what you are reading, subscribe to our newsletters now at www.chan-naylor.com.au or follow our Facebook page: https://www.facebook.com/ Chan & Naylor Group has nationwide offices in Brisbane (http://www.chan- Disclaimer (http://www.chan- Photo: Flickr (https://www.flickr.com/ End
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