Scenario:

Chris, 50, and Hugh, 52, had been business partners for over 20 years. Their architecture firm had grown to a $25 million enterprise, and both were nearing the exit phase of their careers. But one day, Hugh suddenly passed away from a stroke.

Chris had never discussed a buyout agreement with Mark, assuming they’d “figure it out later.” But now, Hugh’s share of the company transferred to his spouse, who had no experience in the business.

The Risk;

Without a clear succession plan, Chris was forced into negotiations with Hugh’s family, who now had a controlling interest in the business. With no legal framework in place, the family could have demanded an immediate sale, cashed out Mark’s shares, or brought in an outside investor who didn’t align with the company’s vision.

Chris now faced the possibility of losing control of the business he helped build—or being forced into an exit he wasn’t ready for.

How Rock Solid Financial’s Strategic Planning Could Help:

If Chris and Hugh had implemented a buy-sell agreement funded by life insurance, Chris could have immediately secured ownership of Hugh’s shares—without dipping into company funds or taking out risky loans.

Instead of dealing with legal disputes or losing control, Chris could have ensured the business continued smoothly, protecting its value and keeping it in the right hands.

If this sounds like you or it’s a scenario you’d like help avoiding, we can help. Book a consultation today.