12 Things to do in 2013- #4- Laurie Valentine
Business Sale- Brings a Unique Stewardship Opportunity
For many private business owners, virtually all of their net worth is concentrated in the value of their business. As the owners of privately-owned businesses approach retirement, plans for exiting the business must be made.
Only one in five business owners expect to transfer their business to a family member (PricewaterhouseCoopers study).
The sale of a long-owned business may result in substantial capitals gains tax liability.
Demonstrate your faithfulness to the One who entrusted you with such wealth by including a charitable gift of a portion of the business in your business exit planning. Your charitable gift must be completed before you make an agreement to sell your business.
Benefits of such a giving plan include reduction of your long term capital gains tax liability, a charitable income tax deduction based on the market value of the portion of the business you give to (or for) charity, and the potential for increased income if you use a life income giving plan.
For more information go to www.kybaptist.planyourlegacy.org/GIFTbusiness.php.
The information in this article is provided as general information and is not intended as legal or tax advice. For advice and assistance in specific cases, you should seek the advice of an attorney or other professional adviser.