Why We Plan: Recent Episodes

John Brown

A podcast for advisors to business owners who want to help their clients plan for a successful future, both inside and outside the business. We discuss topics including succession planning, exit planning, ESOPs, business continuity planning, building transferable value, family transfers, third-party transfers, buy-sell agreements, the due diligence process, estate planning, valuation process, tax minimization, building a stronger next-level management team, and much more.

Discussion on the significance of Exit Planning and the emotional complexities involved in transitioning from being a business owner.
Charis highlights her approach to coaching, emphasizing the neuroscience behind fear and change, and how she assists entrepreneurs in navigating these challenges.
Insight into the benefits of integrating a life coach into the Exit Planning process from the start, enhancing decision-making and emotional well-being.
The episode touches on family dynamics in business transitions, underscoring the importance of communication skills.
Charis offers strategies for advisors to identify and address emotional roadblocks in Exit Planning.
Introduction to Charis's podcast, "Charis Your Life," encouraging listeners to explore further discussions on living a balanced and fulfilling life post-exit.

The ESOP Advantage: Discover why ESOPs are not just an exit strategy but a powerful tool for ensuring the continuity of a business while rewarding its employees. This episode sheds light on the unique benefits of ESOPs and why seasoned advisors are crucial in navigating this complex yet rewarding terrain.

Advisor Roles and Responsibilities: Advisors play critical roles advisors play in the Exit Planning process. From the fiduciary obligations of trustees to the strategic positioning of business owners for success, understand the intricacies of ensuring your clients are well-represented, informed, and primed for their exit.

In-depth Insights from Vince D'Addona: Celebrating his 44th year in the business, Vince D'Addona, a leading financial and insurance advisor, shares his extensive knowledge and experience in high wealth estate planning. Vince discusses the nuances of building a practice centered around wealth protection and transition, with a particular focus on exit planning for business owners.

The Art of Exit Planning: Discover the strategic and multidisciplinary approach to exit planning as Vince and John Brown explore real-world scenarios and the importance of preparing for 'gray swan' events. Learn how Vince's shift from traditional financial advising to comprehensive exit planning has enhanced client relationships and business outcomes.

Beyond the Numbers: This episode highlights the human side of exit planning. Vince emphasizes the significance of aligning the exit process with personal goals, preserving community legacies, and ensuring employee well-being. Hear about the transformative impact of considering aspirational and values-based goals in the exit planning process.

Host & Guest: John Brown (Founder of BEI) interviews Izak Smith, an Exit Planning advisor.
Discussion Points:
Izak Smith's Background: Shares his journey into Exit Planning, reflecting on his own experiences as a business owner and the evolution of his firm.
The Role of Exit Planning: Highlights the necessity of a multi-disciplinary team, involving attorneys, financial advisors, CPAs, etc., for comprehensive Exit Planning.
Growth and Challenges: Discusses the challenges and strategies of growing a business's value and cash flow, emphasizing the importance of people, not just numbers.
Marketing Strategies: Izak discusses transitioning from being a technician in the business to focusing on marketing, brand recognition, and education.
Client Relationships: Details the importance of establishing clear goals, timeframes, and maintaining focus for business owners aiming for a successful exit.
Internal Team Dynamics: Izak shares his positive experience working with his brother, emphasizing trust and complementary skillsets.
Preferences in Exit Planning: Expresses a preference for working on internal sales and transitions, placing importance on ensuring that those who contribute to the business's success benefit from its exit strategy.

John Brown, founder of BEI, delves into a comprehensive conversation with Jim Carlisle, an expert in the field with 32 years of legal practice. Key highlights include:

Jim's Background and BEI Involvement: Jim Carlisle discusses his extensive legal career and how his involvement with BEI has significantly changed the trajectory of his professional life, especially in handling mergers and acquisitions.
The Shift in Practice: Jim explains how Exit Planning provided a new perspective, leading to a more predictable and strategic approach in his legal practice, moving beyond traditional deal-making.
Pipeline Development: A focus on how Jim built a pipeline of Exit Planning clients, leading to a more consistent and manageable workflow and enabling effective team management.
Strategic Client Engagement: Insights into how Jim's Exit Planning approach has facilitated deeper client relationships and broadened his scope of legal work.
Flexibility in Exit Planning: Discussion on the adaptability of Exit Planning timelines to suit business owners' needs and the importance of being prepared for unforeseen exit opportunities.
Exploring Multiple Exit Strategies: Jim emphasizes the importance of exploring and evaluating various Exit strategies, including ESOPs, family transfers, and third-party sales, ensuring well-informed decisions by business owners.
Impact on Business Development: Jim shares how leading with Exit Planning has changed his business development strategy, resulting in securing comprehensive client relationships.
Support and Team Structure: An overview of Jim's support team at Dinsmoor and the role they play in providing comprehensive Exit Planning services.
Fee Structures and Client Value: Jim talks about his transition from fixed fees to hourly rates and how this has positively impacted client relationships and service value.

Host: John Brown, Founder of BEI
Guest: Bruce Willey, Attorney and CPA
Main Topics:
The evolution of exit planning and its significance
The role and resources of BEI in supporting advisors
The impact of BEI on Bruce Willey's professional journey
Challenges and strategies in exit planning
Comparing third-party sales and insider transfers
Building and leveraging a national network of advisors
The importance of focusing on client outcomes
Key Takeaways:
Exit planning is a multifaceted process that requires a diverse set of skills and knowledge.
Insider transfers can offer a more holistic and satisfying approach to business succession.
Building a reliable and focused team is crucial for successful exit planning.
Understanding and prioritizing client needs is essential in differentiating oneself in the exit planning space.
Audience: This episode is a must-listen for business advisors, attorneys, CPAs, entrepreneurs, and anyone interested in the intricacies of exit planning and business succession.
This episode of "Why We Plan" offers valuable insights and practical advice, making it a significant resource for professionals in the field of business advisory and exit planning.

This episode is a must-listen for anyone interested in the intricate world of Exit Planning, blending professional insights with personal stories to provide a comprehensive view of the field.

Host: John Brown, Founder of BEI

Guest: Simon Horowitz, Emerging Exit Planner

Main Topics: Exit Planning Training, Generational Business Transfers, Continuous Learning in Business

Audience: Business owners, Exit Planning professionals, and those interested in succession planning

Language: English

Category: Business & Finance

Join us on "Why We Plan" as Stuart Sorkin, a legal and financial strategist, unveils the secrets of effective Exit Planning. Discover why mastering delegation is crucial for business owners, how to align personal and business goals for a robust succession plan, and the essential steps to safeguard business continuity. Sorkin shares real-world stories and offers actionable advice for owners at any stage, ensuring their legacy thrives through generations. Tune in for an episode filled with expert insights on building a future-proof business.

Ken Rumbaugh shares insights on his financial planning practice, https://www.kenrumbaughinc.com and passion for assisting business owners.
Discussion on the evolution and success stories of business owners, highlighting the complexities and rewards of exit planning.
Ken's experience with BEI, emphasizing its practical and commonsensical approach to exit planning.
The significance of continuous training and learning in the field of exit planning.
Benefits of networking and collaborative problem-solving among exit planners.
An anecdote of assisting a New York client, emphasizing the value of a comprehensive exit planning approach.
John and Ken touch on the emotional and financial gratifications of helping business owners navigate the exit planning process.

In this episode, John Brown speaks with special guest David Blauzvern, Vice President of csgpartners.com.

CSG Partners is an investment bank headquartered in New York City, specializing in ESOP transactions. This discussion revolves around Employee Stock Ownership Plans (ESOPs), their benefits, and their complexities. Blauzvern emphasizes that while ESOPs offer unique advantages, especially for owners looking to preserve company culture and benefit employees, a lack of education about ESOPs prevents more business owners from considering this option.

Benefits of ESOPs:

Flexibility in structuring transactions.
Options include minority or majority sales, selling equity to management teams, etc.
Preserves company culture; management remains the same.
No layoffs post-transaction.
Acts as an incentive for current and prospective employees.
Tax advantages.

In our 100th episode of the Why We Plan podcast, BEI founder John Brown is joined by George Sandmann, CEO of Growth Drive, to discuss the topic of strategic planning and creating transferable value for owners. John and George dive into transferable value as an important metric for evaluating business success and its significance in exit planning. Furthermore, they emphasize the importance of forming a collaborative, multidisciplinary team to tackle challenges and objectives inherent in exit planning, underscoring the essence of a holistic approach in achieving success in the realm of business planning.

Explanation of "Transferable Value" as a paramount metric for evaluating business success and its significance in exit planning.
Overview of the training and courses offered at Growth Drive, with a spotlight on their launch course and Fearless Business Advisors program.
Discussion on the digital tools and resources available for advisors, including their software named CLARITY, designed to assess and augment a business's strategic capacity.
Insight into the journey and experiences that led George into this venture, shedding light on his past entrepreneurial endeavors and consulting roles.
Comparative discussion on the similarities between BEI and Growth Drive in terms of their goals, approach, and the culture of fostering a community of well-versed advisors ready to support business owners in different capacities.
and more!

In this episode of "Why We Plan," John Brown, the CEO of BEI, is joined by Dan Finn, the founder of Finn Financial Group, to discuss how business owners can reduce the tax impact of selling their business to a third party. Finn explains how Section 453 of the Internal Revenue Code can be used to take a cash sale and defer a portion of the proceeds, thereby reducing the tax obligation in the present and deferring it into the future. Brown and Finn discuss how this strategy can help business owners address the concerns of what they will do after they sell their business. They also note that this strategy is not new, but it is not yet widely known, and they encourage advisors to explore it further. Tune in to learn more about how deferring taxes with Section 453 can be a key element of Exit Planning.

https://www.exitplanning.com

In this episode of "Why We Plan," John Brown, founder of BEI, speaks with Casper Scott Yost , a Certified Exit Planner and Advisor. They discuss different learning tools and techniques available for business owners and their advisors to better plan for the exit from a business. Casper shares his experience with BEI's CExP program and continuing education requirements, which provide technical knowledge and expand the scope of working with family business owners through neuroscience. They also discuss the value of BEI's webinars, whitepapers, and podcasts for ongoing learning and development.

The newest episode of the podcast "Why We Plan" discusses the different elements of Exit Planning. Our guest, Michael Wildeveld, shares insight about how his business primarily sells companies and engages in business sales of all sizes, ranging from $200,000 to $40 million. Michael believes that selling the company is not the only solution for business owners, and sometimes it may not be the best solution. He argues that for some entrepreneurs, the goal is not to go lay on the beach or play golf, but to continue to be active problem solvers. Advisors in general assume that business owners need to sell their entire interest and do something else, but many owners do not want to do that, and most of them do not know the options they have. Michael explains that through proper planning and techniques, companies like his can help owners explore alternatives, such as ESOPs, majority minority recapitalizations, and private equity sales, which offer a significant amount of rollover equity, allowing the owner to participate in a control or non-controlled position, while someone else grows the value of the company. The episode offers valuable insights into Exit Planning for business owners and their advisors.

The latest podcast episode of "Why We Plan" features John Brown, the founder of BEI, and Keven Prather, a long-term BEI member who practices total wealth management for clients where he plans for exits and transitions, with a focus on treating the business as an asset class. Prather discusses a tool that he uses, the BEI insider plan spreadsheet, to lay out the net after-tax effects of an insider transaction for a business owner, whether it be a majority or minority sale. This allows for scenario analysis and emphasizes the tax planning aspect of what they do. John and Keven discuss the concept of selling for the lowest defensible value and using the tool to model out all the different aspects of planning. Additionally, Prather describes the importance of exit planning for advisors.

Keven Prather is a registered representative of and offers securities and investment advisory services through MML Investors Service, LLC. TransitioNext Advisors® is not a subsidiary or affiliate of MML Investors Services, LLC, or its affiliated companies. OSJ: 2012 W. 25th St., Suite 900, Cleveland, Ohio 44113. 216-621-5680. CRN202603-4039457

This episode features an interview with Alex Weatherly, an estate planning lawyer with more than 35 years of experience. Weatherly started his career in a tax estate planning law firm and gradually became interested in exit planning, realizing that for many business owners, their business is their most significant asset. He became a BEI Member, an exit planning organization, to learn more about the exit planning process and eventually became a full participant. In this episode, Weatherly talks about how his role in exit planning has evolved over time, and he now leads a team of advisors to help business owners transition out of ownership. He emphasizes the importance of proper planning to avoid disastrous situations and talks about how estate planning is just a small part of a bigger planning pie that involves coordination with other advisors, such as CPAs, financial advisors, and insurance advisors. Weatherly also notes that estate planning attorneys should not overlook family relationships when drafting estate planning documents and should take a more holistic approach to the planning process. Overall, Weatherly finds exit planning more exciting than estate planning, as it allows him to interact with all kinds of people and better understand their dreams and motivations for being in business.

In this episode of "Why We Plan," host John Brown talks to Daniel White, a first-year member of the BEI team, about his experience developing and executing an Exit Planning process for business owners. Daniel shares how his firm, Allen, Gibbs & Houlik, L.C., had various advisory services related to Exit Planning, but lacked a cohesive process to bring them all together. He explains how BEI provided the training and tools needed to create a clear process that allows business owners to exit their business on their terms. The episode explores the challenges and opportunities of developing a cohesive Exit Planning process and highlights the benefits of having a comprehensive plan in place.

In this episode of "Why We Plan," we hear from Craig Rubrecht, CEO of Cornerstone Wealth Group, who shares his experience with adding Exit Planning to his wealth management practice. Craig discusses the reasons behind his firm's decision to add Exit Planning, the impact it has had on the firm, and the benefits of working with BEI, a training and software organization that supports advisors throughout the country. He talks about the role of Exit Planning in helping business owners exit their business on their terms, and how the knowledge and resources provided by BEI have been crucial in helping his firm offer a full suite of services to business owners.

Welcome to "Why We Plan", a podcast for business advisors and their clients about how to better plan for the exit from a business. Join John Brown, the host of the podcast and founder of BEI, Business Enterprise Institute, as he discusses different elements of Exit Planning with experienced guests, including real-life stories, challenges, and opportunities of owners and their advisors. In this episode, John is joined by Nick Niemann, a family business continuity attorney, who shares his unique approach to Exit Planning, viewing every business as a "family business" and focusing on the continuity and success of the company, its employees, and customers, rather than just maximizing financial gain for the owner. Tune in to gain valuable insights and strategies for Exit Planning for your business.

In this episode of Why We Plan, John Brown interviews Scott Bushkie of Cornerstone Business Services, Inc. on his experience in Exit Planning and working with BEI. Scott and his team at Cornerstone Business Services offer concierge M&A services for the lower middle market, with the goal of maximizing value for businesses through high-quality services that surpass the typical offerings of a business broker.

Scott highlights best practices regarding identifying potential buyers and how his team takes a proactive approach to Exit Planning. Listen now to find out how Scott assists a variety of businesses and how you can leverage BEI’s tools to help your clients throughout the Exit Planning process. Interested in getting connected with Scott and his team?

Follow him on LinkedIn here: https://www.linkedin.com/in/scottbushkie/

Cornerstone Business Services

https://www.cornerstone-business.com

This podcast is for informational purposes only. Business Enterprise Institute (BEI) is not affiliated with or endorsed by PAS, Guardian, or International Planning Alliance and opinions stated are their own. D. Jeremy Pugliese is a Registered Representative and Financial Advisor of Park Avenue Securities, LLC (PAS). Securities products and advisory services offered through PAS, member FINRA, SIPC. Financial Representative of The Guardian Life Insurance Company of America® (Guardian), New York, NY. PAS is a wholly owned subsidiary of Guardian. International Planning Alliance, LLC is not an affiliate or subsidiary of PAS or Guardian. California License #0L01672 This material is intended for general use. By providing this content The Guardian Life Insurance Company of America, Park Avenue Securities LLC, affiliates and/or subsidiaries, and your financial representative are not undertaking to provide advice or make a recommendation for a specific individual or situation, or to otherwise act in a fiduciary capacity. Guardian, its subsidiaries, agents and employees do not provide tax, legal, or accounting advice. Consult your tax, legal, or accounting professional regarding your individual situation.

In this technical podcast, Ed does a deep dive into how a business owner could benefit from securing an 831(b) Plan, including:

Any premiums they pay into their captive 831(b) Plan are a tax-deductible expense to the business on the front end, lowering the operating company's taxable incomes.
The premiums paid into the captive 831(b) plan are tax-deferred. Those funds can be managed while those policies are in force, and after premiums are no longer at risk. Funds removed from the 831(b) plan are considered long-term capital gains or can be taken as a distribution or loan.
Businesses can account for good underwriting years and grow their assets.
This additional revenue can allow for many more exit options down the road.
Risk mitigation for under or uninsured liabilities including business interruption, supply chain interruption, political risk, warranties, key employee loss, and many more.

Tune in to learn more about the intricacies of 831(b) Plans and how they might help your business owner clients.

John Brown, Founder of BEI, sits down to speak with Kaitlyn Carlson, Founder of Theory Planning Partners, to discuss the difference between working with millennial and baby boomer business owners. Working with business owners for many years now, Kaitlyn has come to realize that it can be difficult to plan with the end in mind, especially for young entrepreneurs just starting their careers. But no matter if your client is a baby boomer who has built the company from the ground up for the last 45 years or a millennial entrepreneur who starts a new business every other year, a wise business owner must plan for the exit of the business one day. Planning takes time, but the earlier you start having these conversations with owners, the better the chance of a successful exit.

The most important suggestion Kaitlyn can give to advisors working with business owners is to do business valuations on an annual basis. This process will get your business owner clients into the mentality of selling their business every year. Like the saying goes, the longer the runway, the bigger the plane.

In this episode of Why we Plan, John Brown, Founder of BEI, sits down with Spencer Hilligoss, CEO of Madison Investing, to discuss the importance of scaling a business. Spencer started working at a very young age working for his father and learned some hard life lessons a lot sooner than most business owners. He discusses how he used the knowledge he learned from the mistakes he made scaling his own business over a 10–15-year span. Spencer explains that even business owners without any experience scaling a business only need to focus on two things: people and process.

Elizabeth and John sit down to discuss the best strategies to transition to a third-generation owner. Elizabeth brings up an example of a business owner she recently spoke with that is currently in the process of transitioning ownership to the third generation. She mentioned that this company had a successful transition to the second generation, but they learned a few things they wanted to change during the next transition, including what questions to consider. Tune in to learn how John and Elizabeth would approach an exit like this.

In this podcast, John Brown, Founder of BEI, sat down with Tom Bayer, CPA, CExP, Partner at Sikich, to discuss how Exit Planning should be an ongoing, continuous process with your clients, not a one-time transaction. Tom has been a longtime friend of John’s and has been a BEI Member for quite a few years. In Tom’s ten years of experience in Exit Planning, he has concluded that Exit Planning is a marathon, not a sprint. Tune in to learn how to identify where your owner clients might be in the race, and how you can help guide their path.

Joe became an advisor after selling his business. He always thought standard business advising was missing specific aspects. He realized that Exit Planning opened more doors and opportunities for him. He was able to take the theme of Exit Planning and have broader conversations about the future with his current clients. Don’t limit your opportunities by your specific concentration. There is so much more you can do for your business owner clients. Tune in to take a more holistic approach on supporting your business owner clients.

Business owners often don’t know where to turn to start the planning process. The advisors that are making a real impact today are taking a step back and talking about the big picture with their business owner clients. For many owners, this is their first time exiting a business. They don’t know what they don’t know. Tune in to learn how you can help fill in the gaps for your owner clients.

Sara dives into tips and tricks you can use to best market your practice on social media. She explains that, when used properly, LinkedIn can be a great resource to find new clients.

These changes could drastically affect the Exit Plans you are currently creating for your business owner clients. Be sure to stay up to date on each of the reforms and work through how to pivot your strategy so that your clients are not negatively affected.

Owning a family business can lead to some complications if you don’t address the issues head on.

Jay goes on to explain that often children don’t want to take on the family business, especially in this day and age. Many children simply believe they just don’t have the entrepreneurial spirit their parents or grandparents once had. Jay was able to use a variety of the BEI tools and resources to create the right strategy for his business owner clients to come up with an alternative plan if they are unable to pass on the family business to their children.

In this podcast, Elizabeth Mower and John Brown discuss a variety of ways to bring up this tough but important discussion with your business owner clients. Learn how to highlight this common misalignment of resources that many business owners need to consider before they even think about a transition plan.

You can still create an effective plan for owners that never want to sell. The key is asking the right questions to unveil what kind of relationship business owners currently have with the business and the relationship they want to have in the future. Then, outline the steps that they need to take to create the relationship they want. In this podcast, we take you step by step into creating an exit strategy for forever owners.

In this podcast, we discuss the different ways you can approach Exit Planning with your clients. Depending on your background and expertise, you can use other words and phrases to alleviate the intimidation of planning for the future. Succession planning, business planning, financial planning, and continuity planning are all other similar phrases you can use depending on your client’s main priorities. However you phrase it, you will need to get your clients planning early and long before their desired departure date.