I am continually surprised by how many business owners I meet with whose business is their sole retirement vehicle. When you ask these same business owners is a wise idea to invest all your money into a one publicly traded company they would say no yet they continue to treat their business as their sole retirement vehicle. The sad reality is that most of these business owners will not be able to sell their business for what they need to retire on to live a comfortable life. Think about how many bad things could happen to your business just before you are set to retire:
- The business could be sued
- There could be an economic down turn
- There could be a new competitor
- Your product/service could become obsolete
- You could lose a key employee
These are only a few things that could negatively impact the value of your business when you are trying to sell it.
Not only is it unwise to put all your eggs in one basket business owners are also missing out on a great tax deduction. There are a number of retirement plan options for business owners from SEP IRAs to 401ks and anything in between. We are continually working with our business owner clients to help them grow the value of their business but also working with them on accumulating other assets to be used during retirement. If you are a business owner and you are concerned about the ability of your business to provide a comfortable retirement please give our office a call at 405-759-2796 to setup an appointment to discuss your situation.