Probate is a term used for the procedure of ‘Proving the Will’. When the Will is proved, the executor can then deal with the assets of the estate.
Without appropriate planning, issues with probate can often cause further strain, suffering and upset to surviving family members or business partners after someone passes away.
Problems with probate usually arise after a business owner dies without an adequate plan for their estate. This can lead to an array of difficulties including lengthy court battles, extensive legal fees and prolonged delays.
For any business owner there are a number of considerations to make to avoid a messy outcome for your business & your loved ones after you are gone. Consider if you were to pass away suddenly, what would happen to your business in the period immediately after your death? Who would be in charge of running the business while it is waiting to be sold? If you are a co-owner, who would look after your interests in the instance of any problems?
Many of these issues can be addressed with a clear and professionally written Will. It is wise to outline exactly what you want to happen to your business in the event of your death while you still have a say, as the law will only work with whatever you leave in terms of instructions.
These instructions must be correctly and legally executed, especially when a business is the largest part of your estate. This will ensure both your business and the probate process runs smoothly after you are gone.
You need to identify a number of things in advance. Some considerations include:
- Who you want to appoint as a business executor in the instance of your death
- Who you want to run the company while probate proceeds
- What arrangements need to be made to maintain company cash flow
- What arrangements need to be made to maintain family income
Without these the law could decide for you and this may not be what you want.
Do you have a plan in place to ensure the protection of your business after you are gone? Have you taken the necessary steps needed to make probate a smooth and efficient process rather than a business killer?
When thinking about probate, you should seek a law firm with an experienced and knowledgeable team to advise you. Peter Robinson & Co. can help you plan for your future and that of your business and dependents. Get in touch today.