Are You Helping Your SBOs Plan for Their Next Season of Life?
Do you know how a change in business ownership will affect your relationship with that business?
According to the Guardian Small Business Owners Retirement Readiness Study. The primary sources for retirement success cited by small business owners were:
§ 77% — setting aside money into savings or investments
§ 54% — investment in real estate
§ 48% — speaking with a financial advisor
§ 47% — reading books or articles about retirement
§ 45% — setting aside money into company retirement plan
§ 39% — setting aside money in whole/permanent life insurance plan
Over the years small business owners are getting more astute in planning. However, there is a group of SBOs that do not have a comprehensive financial plan for retirement, largely because they do not see the value in it. According to the report, some plan to sell their business to create assets for retirement, so they do not see the point in producing a succession plan.
Of those who do not plan to retire, more than half say they will find it difficult to completely retire and over one-third say they don’t really want to retire.
Asked what they need to help them prepare for retirement, the most common response was “financial planning/investment advice,” including information on next steps to take, what their options are, understanding how much they’ll need for retirement, help in establishing a plan, understanding tax implications, and acquiring advice on making their savings grow.
In addition to retirement, many SBOs have not adequately prepared in case of a personal medical hardship or medical hardship of a partner or key member of their business.
So the question again – How does your small business client’s retirement or change of ownership or medical issue affect your relationship with that business? Are you able to advise them fully?
You have to be experts in many areas in today’s financial arena. How can you fully serve? Well, ABS is here to help. You First, a subsidiary of ABS, focuses on business planning, coaching and guidance. Once again, we are an extension of YOU. We partner with you, walking along side you to help your client. You bring in the expert, you get the credit!
Contact You First at 913-599-7471 or email info@youfirst.com and let’s discuss your needs and a plan to help your clients.
