section iii. “ funding your buy-sell agreements and key man coverages ”
DESCRIPTION
SECTION III. “ Funding Your Buy-Sell Agreements and Key Man Coverages ”. Presented by Cohen Partners LLC: Mark Isack, CFP®, ChFC. Who will your new partner be???. The Buy-Sell Concept is Simple. Entity Buy-Sell Agreement Cross-Purchase Buy-Sell Agreement Wait & See Buy-Sell Agreement - PowerPoint PPT PresentationTRANSCRIPT
SECTION III.
“Funding Your Buy-Sell Agreements and Key Man Coverages”
Presented by Cohen Partners LLC: Mark Isack, CFP®, ChFC
Who will your new partner be???
The Buy-Sell Concept is Simple
Entity Buy-Sell Agreement
Cross-Purchase Buy-Sell Agreement
Wait & See Buy-Sell Agreement
Disability Buy-Sell Agreement
Business Owner & Executive Solutions
Business Protection
Stay Bonus Plans
Key Person
Business Overhead Expense
Key Person Insurance
Why should I purchase Key PersonCoverage?
How Do Key Person Plans Work?
1 Employer pays premium on, and is the owner and beneficiary.
Employer Life Ins. Carrier
Upon the death of the key employee, the employer receives the death proceeds generally income tax free.
2
Exit Planning
Non- Family Family
Sell to Co-Owner
Sell to Employee or Third Party
• Cross Purchase
• Entity Purchase
• Wait & See
• Multi-Owner Buy-Out
• Business Continuation General Partnership/ LLC
• Installment Sale
• Employee Stock Ownership Plan
• Select Buy-Out Plan
• One-Way Buy-Sell
• Installment Sale
• Transfer to Owner then Buy-Sell as Co-Owner
Sell to Co-Owner Sell to Employee or Third Party
• Cross Purchase
• Entity Purchase
• Wait & See
• Multi-Owner Buy-Out
• Business ContinuationGeneral Partnership/ LLC
• Installment Sale
• Grantor Retained Annuity Trust
• Employee Stock Ownership Plan
• Select Buy-Out Plan
• One-Way Buy-Sell
• Gift Business
• Installment Sale, Interest Only Installment Sale, or Self Cancelling Note
• No-Sell Buy-Sell
• Grantor Retained Annuity Trust
Ranked Priority Percent Offered
1 Business Protection 30
2 Group Health Benefits 51
3 Income Protection 24
4 Qualified Retirement Plans 39
5 Group, Life, Disability, Dental & Vision
46
6 Supplemental Retirement Income 14
7 Voluntary Employee Benefits 13
8 Wealth Transfer 66
9 Survivor Income 70
10 Exit Planning 27
Business Owner Key FindingsRanked Priority and Percent Offered
Conclusions: Protect the future of your Start-up Business
with Buy-Sell Agreements and Key-Person Insurance
What are your priorities as a Start-up Business
Discuss with your insurance professional what Business Protection you need for your company’s current stage of development.
DisclaimerThis presentation represents our understanding of the Federal income, gift and estate tax law as currently interpreted. Summit Financial Resources, Inc., its affiliates, agents and representatives, do not offer tax or legal advice. We recommend that you seek specific advice regarding legal and tax matters from qualified advisors.
The illustrations used in this presentation are purely hypothetical and are used solely to demonstrate the general concepts presented herein.
Mark Isack is a Representative of, and offers securities through, Summit Equities, Inc., Member FINRA/SIPC,and, an Investment Advisory Representative offering Financial Planning Services through Summit Financial Resources, Inc. Supervisory Office, 4 Campus Drive, Parsippany NJ 07054 (973) 285 3670
Thank you!