Case Study 1

Small Business Owners

Lawrence & Issa

PRIMARY GOAL:
Accelerate their retirement saving, increase revenue and enhance enterprise value in preparation for an exit in five years.
AGE:
45 & 40

Lawrence and Issa haven’t put considerate effort into their retirement savings as increasing lifestyle, business needs, college planning have consumed the bulk of the annual surplus.

Lawrence owns a boutique CPA firm and Issa works there as a virtual office manager. They both enjoy the independence of self-employment — their work adds value and meaning to their lives.

They’ve worked for years as a lifestyle firm. Not focusing on growth as much as freedom to travel, home schooling and volunteering in their community.

The challenge isn’t overcoming any financial mistakes or limitations, they’ve been doing all the right things:

  • Generating high six-figure household income
  • Paying down both personal and business debt
  • Growing sizeable equity in their primary home
  • Protecting themselves with the right types of insurance

 

So, what’s the problem?

As Lawrence and Issa wonder if they set their business on a path to capture the equity or are they’re missing something. Is their current plan right for them?

They admit…they don’t know what they don’t know.

As they approach the next stage of life, they want an expert to help them make strategic decisions with their money. They also want help navigating the exit strategy for their business.

While Lawrence and Issa aren’t in a hurry to retire, they know they need to rapidly build their retirement assets and start planning an internal five-year transition plan.

Lawrence and Issa weren’t sure where to begin, which is why they pursued professional help from a financial planner.

Plus, they’re busy. They don’t want to get bogged down trying to figure everything out on their own.

When Lawrence and Issa were interviewing financial planners, it was important that they hired someone who understands the process of building value in a business, exit planning and taxes. So, they were pleased when their financial planner was an IRS Enrolled Agent and a Certified Exit Planner. They wanted help with the entire financial picture, especially taxes.

  • A comprehensive plan was put together that met all their needs:
  • A tax-deferred retirement savings vehicle that could have total annual contributions of over $200,000 while saving over $100,000 in combined taxes.
  • A predictive dashboard and cashflow forecast.
  • Improved on the (8) major value drivers to increase business equity.
  • A calculation of value report.
  • Reduce medical expenses and taxes in retirement.
  • An exit planning strategy to transfer the business to key employees.

 

Lawrence and Issa now enjoy the peace of mind that comes from a clear financial plan.

They have more energy and mental space to dedicate toward what they enjoy — knowing they have the choice to retire when the time is right.

Have morie questions? Get your free planning assessment!

Step #1 in our Free Planning Assessment Process is a 20-minute phone consultation. Quickly schedule your appointment below:

Join my List and get you 10 Day CashFit Guide

Get Access to the 10-Day CashFit Challenge. This 10-Day money detox and money affirmations will help you answer the question "How am I doing?" and get you on your way to financial success.

DOWNLOAD NOW