Why Business Owners Deserve More Than an Easy or Cheap Estate Plan

If you're a business owner, you may have considered using an online form or a low-cost legal service to set up your estate plan. Maybe your financial advisor even helped you create one as part of your financial planning. These options promise convenience, speed, and affordability. But here’s the truth: if you didn’t work with a lawyer who understands how your business and personal life intersect, you might be leaving your business—and your family—at risk.

The Missing Link Between Your Business and Your Estate Plan

Most business owners don’t realize their estate plans and business documents need to work together. If your will or trust says one thing, but your business operating agreement says another, it can create costly legal conflicts, delays, and even put your business in jeopardy.

That’s why estate planning for business owners isn’t one-size-fits-all. Your business is a living, breathing entity. It requires special care and alignment with your personal estate planning documents.

What Happens When They Don’t Align?

Let’s say your trust leaves your business to your children and names your brother as trustee. But your LLC’s operating agreement doesn’t allow a trustee to take over ownership or management. Suddenly, your family is stuck in legal limbo, unable to access or run the business you worked so hard to build. These kinds of misalignments happen far too often—and the consequences can be devastating.

Key Business Documents That Need Updating

To ensure a smooth transition, your estate plan must include updated business documents. Here are the essentials:

Operating Agreements (for LLCs):

• Allow transfer of ownership to your trust

• Include clear succession plans for your death or incapacity

• Outline how the business continues during a transition

• Coordinate buy-sell provisions with your estate plan

Corporate Bylaws (for Corporations):

• Enable stock transfers that follow your estate plan

• Establish leadership succession protocols

• Provide emergency management procedures

  
  

Real-Life Impact of Poor Planning

Consider Michael, a small business owner who had a personal estate plan but outdated corporate bylaws. His plan named a trustee for his business interests, but the bylaws gave control to a long-gone co-founder. After Michael's sudden passing, his family spent over $100,000 in legal fees just to untangle the mess—nearly bankrupting the business.

Stories like Michael's are why we do things differently.

How to Align Your Business and Estate Plan

With our Life & Legacy Planning® process, we help you:

• Review your current estate and business documents

• Identify and fix inconsistencies

• Update or create operating agreements or bylaws

• Align your business succession plan with your personal wishes

• Consider a buy-sell agreement that protects your business and loved ones

And most importantly, we don’t stop after your plan is signed. We regularly review and update your documents to reflect changes in your business and life.

Protect the Business You Built and the People You Love

A cheap or convenient estate plan may seem like a smart move today. But if it doesn’t protect your business and loved ones when it matters most, it can end up costing much more.

Your business deserves more than a generic plan. We help you create a custom Life & Legacy Plan that ensures your business and your family are protected—no confusion, no court, no conflict.