- Thread starter
- #11
Thanks dhk for that response advice like this was what I was searching for.
Structuring Buysells with Regards to Divorce
- Thread starter Justin Bilyj
- Start date
- 11,996
Alright, so because there aren't people here that do advanced markets that answer the questions that you have the way you'd like, you believe that it's just newbs, vendors, and entertainment seekers. If you don't mind my asking, which of the three categories would you put djs, dhk, jdeasy, newby, wino, franz kafka, aram fingal, and abc in? I'm sure there are some other experienced agents that come on here to help and provide insight based on their experience that I left out, but I think you're painting with an awfully broad brush to say that you believe the site is just newbs, vendors, and entertainment seekers. Of the folks that participate on here, there are some newbs, vendors, and entertainment seekers, but there are also a number of experienced agents that help provide great content and help. nfl and I didn't really get along when he first came on, but we've managed to make nice and I think he provides good content. I don't necessarily agree with him on everything, but he's certainly provided helpful information for folks and been a productive participant in a number of discussions.
- Thread starter
- #13
I agree with you regarding the list of people mentioned although I would add a few more to that list.
- 11,996
I think there are probably a good many more that belong on there.
So why are you dismissing this forum as just a bunch of newbs, vendors, and entertainment seekers? Doesn't that seem a bit harsh?
You can get a lot of great information on here about all sorts of things. Why be dismissive of the entire board when you didn't think you were going to have a super specific question answered to your satisfaction?
I used to do some work in the business market and funded Buy and Sells.. But I did just that, I arranged to fund them with life insurance.. I did not give advice on the plan document. That is for the Attorney's to take care. If an agent gives that advice or perhaps even goes so far as to go to Staples and get a Legal document book; gives it to the client to fill out, he is opening himself up for some real liability headaches and in most cases it wouldn't be covered by E&O because the agent was acting outside the scope of his license. Josh, You were right on with your advice.
Actually, the real answer is, there's little you can do with insurance products to avoid divorce problems. That is a legal problem that has everything to do with business and personal finance structure.
If you're credentialed to hand out planning advice and the GP or shareholder is interested, the easiest way to insulate from this is trust ownership (for an LLC, S, or C-corp) or an LLP for bona-fide partnerships.
That's the quick and dirty answer. Truth is this topic doesn't work well as an afterthought as restructuring can be difficult, so if you're going after this, best to bring it up where the partners own an LLC, S, or C-corp you'll still need to have everyone on board, because most of these will include clauses that require at least a majority of the share votes to bring any action on this (i.e. if one partner is unnerved and wants to move, he'll likely need the other partner(s) to consent before he can take any action in protecting himself.
It's maybe something to have in mind as a value added aspect of what you do. I'd never consider this a lead in to anything, it's just too buried in the pile of other considerations, and far too complicated to be of much use after the fact. And often times if you dive into too deep a subject, you'll burn he prospect out real quickly and they shut down.
If you're credentialed to hand out planning advice and the GP or shareholder is interested, the easiest way to insulate from this is trust ownership (for an LLC, S, or C-corp) or an LLP for bona-fide partnerships.
That's the quick and dirty answer. Truth is this topic doesn't work well as an afterthought as restructuring can be difficult, so if you're going after this, best to bring it up where the partners own an LLC, S, or C-corp you'll still need to have everyone on board, because most of these will include clauses that require at least a majority of the share votes to bring any action on this (i.e. if one partner is unnerved and wants to move, he'll likely need the other partner(s) to consent before he can take any action in protecting himself.
It's maybe something to have in mind as a value added aspect of what you do. I'd never consider this a lead in to anything, it's just too buried in the pile of other considerations, and far too complicated to be of much use after the fact. And often times if you dive into too deep a subject, you'll burn he prospect out real quickly and they shut down.
- 15,041
As usual BNTRS gives sound advice. A horrible idea to prospect around, and the business owner asking about it is already considering it.
