OWNER FINANCIAL GAP
Originally posted: September 1, 2021
Updated: July 18, 2023
Family business owners are passionate about what they do. They’re working to carry on a business that family built – by their parents, grandparents, sometimes even great-grandparents and beyond. These owners are so busy providing for their employees, communities, and the next generation that they often ignore their own financial future.
Boiling it down to its true essence, business is a means to building wealth. And what are we supposed to do with that wealth? Ideally, it should fund our retirement, philanthropic desires, and future plans. In reality, unfortunately, many business owners work hard in their businesses without ever taking the time to:
All of the items above can be managed and developed by working with a wealth manager to determine what we call your “personal financial gap.” Here’s where the simple math comes into the picture:
This simple Financial GAP Calculation will uncover 3 possible realities:
Let’s break down this equation and where these numbers come from:
It’s simple math. Yet, it’s a calculation that many business owners simply do not take the appropriate time to do.
Don’t gamble with your legacy. Get a clear picture of your Financial Gap now, while you have the time and energy to change the equation.
If you’re still unsure about how to get started or have questions about Business Valuation, we’re here to help. Join us on July 27th for The Collective, a 1-hour family business coaching event and peer group. During this time, we’ll share a short lesson on Understanding and Simplifying How Business is Valued and then answer any questions you and your fellow business owners have.
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