Trying to get a bunch of advisors to meet, discuss, agree, and take action (on a timely basis) on a project for a mutual client can be time-consuming and frustrating. Having an organized approach to involving other advisors is required.
As mentioned in a previous post, planning advisors need to recruit, develop, and use a panel of top-notch professionals from other disciplines to suggest additional or alternate recommendations for action, evaluate and vet their proposed suggestions and recommendations, and ultimately implement the recommendations. We suggest that you create a panel of advisors who, collectively, possess the expertise needed for any type of Exit Plan.
The most time-efficient and effective way to involve other advisors is to work with those already familiar with your planning process and their role in it. The professional advisors on your Exit Planning advisor panels are involved both informally to offer advice and suggestions as well as formally when engaged by owners. This group of advisors can range in expertise and profession.
The advisors normally involved in the initial phase of planning—determining owner’s goals, available resources (personal investments and business value for example), and resources needed to bridge any resource gap are:
- Exit Planning Advisor
- Financial Planner
- CPA/valuation appraiser
Based on a client’s particular needs and goals, additional professionals might include:
- Life insurance advisor
- Business attorney
- Estate planning attorney
- M&A attorney
- Tax specialist
- Investment banker
- Business broker
- Management consultant
- Business coach
- SBA lender
- Family business consultant
This list, of course, is not exhaustive, nor does it include specialties within a profession.
There is some legwork involved in assembling and leading a team of advisors, but the effort is worth it because it simplifies your role and results in the best, most effective Exit Plan for your client. In our next post, we list the professionals that can make up an advisor panel and the qualities to look for in each.
- Business Exit Planning involves advisors from a number of different professions.
- The most time-efficient and effective way to involve other advisors is to work with those already familiar with your planning process and understand their role.