For business owners, there are many more retirement-related decisions to be made than simply the date. Forward planning is required to ensure longevity for your organisation and a tax-efficient exit for yourself.
Selling your business
If you plan to sell your business as a means of funding your retirement, you can maximise the potential returns by making strategic decisions that will increase the saleability and price of your organisation.
This process typically takes several years, so it’s best to begin early.
Alternatively, a family management buyout may provide a secure pension fund while providing for future generations.
Commercial property
If you or your business owns its premises, then you may choose to retain these when you sell.
This provides both an immediate lump sum as well as ongoing rental income.
Pension funds
There are various ways in which business owners can take advantage of tax savings while building their retirement fund.
These include making exceptional pension contributions from your company to save corporation tax and reduce capital gains tax, while small self-administered schemes (SSASs) encourage investment in your business.
Recording your decisions
It is important to put your intentions in writing, should there come a time in the future when you are unable to execute those actions yourself.
Working in partnership with Pareto Financial Planning, we have developed the In Case of Emergency file which enables others to locate your accounts, documents and more.
The key to successful retirement is to start in good time and to ensure your advisors have the depth of experience to guide you through all the different aspects of planning.
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