As anyone who has scene Shark Tank recently knows, entrepreneurship is alive and well in the U.S. Indeed, entrepreneurs (small business owners) make up 64% of net new private-sector jobs, 42.9% of private-sector payroll, 49.2% of private-sector employment, 46% of private-sector output, 43% of high-tech employment, 33% of exporting value, 98% of firms exporting goods and 99.7% of U.S. employer firms. This is according to the U.S. Small Business Administration. Though, constantly putting out fires can foster a culture of fix it now at the expense of long-term planning. Often, entrepreneurs are just trying to get through the day, which makes estate planning much harder.
Long-term versus short-term thinking
Las Vegas, Nevada, entrepreneurs being on constant guard and struggling can put one into short-term thinking mode, which is the opposite of estate planning that demands long-term strategic planning. But, with a little effort and help, entrepreneurs can switch that mindset to attain their estate planning goals.
Legacy
Of course, an estate plan will deal with one’s assets and cash (i.e., who gets what), but more importantly, the estate plan will make the entrepreneur’s business their legacy. It can plan out how the business will go on after, or it can help plan how to transfer it in retirement to a new entrepreneur.
The keys to a successful estate plan
First, accounting of everything is needed. This is for the business and personal assets, including all e-assets (those that require a username and a password to access). Second, what are the goals for those assets during life and after death. Third, what is needed to make those goals a reality. It is the, “how to” part that is the estate plan. And, it is this part that is the hardest to do for entrepreneurs, especially entertainers.
How to get over the hump
Even if the Nevada resident does not know how to effectuate their goals, write them down. An estate planning attorney can make it happen, but if one does not write out what they want, it is likely they will miss something. Plus, just the simple act of sitting down and writing down what one wants can be the most arduous part. Once one hands that off to the attorney, that person does all the work from there.