Succession Planning & Wealth Transfer

Prepare for the transition of ownership of your business.

Someday, the business you’ve worked hard for could become your legacy. But leaving important decisions until a time of transition could create unnecessary stress and financial strain—far from ideal conditions for coming to a favorable arrangement.

Solidifying an exit or succession plan and wealth transfer strategy helps ensures that your business and your estate will transition as smoothly as possible when the time comes.

Talk to an advisor to find out how a financial professional can help you get started.

Create an exit or succession strategy.

The Principal Financial Group® (The Principal®) offers several options for helping you plan the sale or transfer of your business, focusing on maintaining its full value for the benefit of everyone involved.

A buy-sell agreement is a prearranged contractual agreement between a buyer and a seller, defining triggering events – such as voluntary termination, death or total disability – for a sale and outlining price and other terms. 

  • Agreements can be funded with a variety of insurance solutions, including permanent or term life insurance or Disability Buy-Out insurance.

An Employee Stock Ownership Plan (ESOP) is invested primarily in employer stock, providing liquidity for departing owners to exit the business in a tax-advantaged way.

Succession planning for family businesses helps navigate the particular challenges of transferring business ownership within the family.

Find an advisor to help you assess your succession planning needs.  

Design your estate plan.

Estate planning or wealth transfer strategies help ensure your assets are passed on according to your wishes after you die.

With a variety of trusts and gifting strategies, The Principal can help you minimize your estate tax liability, equalize inheritances among your family, and maximize distributions to your heirs, third parties, and charities

Know the value of your business?

Talk to a financial professional to request an informal business valuation.

Have questions?

Explore help for employers, or call us at 800-986-3343.

Help with preparing for the transition of ownership

Prepare for a Successful Business Transition

One of a business owner’s key responsibilities is creating a strategic transition plan, so the business can keep going after you’ve moved on.