No Sell Buy-Sell

How it Works

After determining the value of the business, an irrevocable trust is established that is generally funded with life insurance equal to the value of the business. Upon the death of the owner, the trust purchases the business interest from your estate. The designated trustee controls the business interests and continues to manage the business until the interest is distributed to family members or until the right time to sell.

Advantages

• If you die, the trust purchases the business interest from your estate. Insurance proceeds are income and estate tax free under current law.
• Creates survivor income for your family when a buyer isn't available.
• Avoids facing a liquidation of the business at a reduced price.
• Owner's estate gets fair price.