Business Succession Planning in Westchester, NY
If you own a business in Westchester, planning for its future is one of the most important decisions you’ll ever make. Whether you’re preparing for retirement, an unexpected emergency, or long-term growth, business succession planning ensures your enterprise continues to thrive while protecting your family, employees, and financial legacy. At Cavallo & Cavallo, our Westchester business succession planning attorneys help business owners develop clear, legally sound succession plans that align with their values and long-term goals.
What Is Business Succession Planning?
Business succession planning is the process of identifying who will take over your business and how ownership, management, and operations will be transferred—either during your lifetime or upon death or incapacity. It helps avoid disruptions, family conflict, and financial losses by clearly outlining your intentions in advance.
A well-structured plan addresses:
- Who will own and run the business in the future
- How the transition will be financed and executed
- Tax implications of the transfer
- Legal agreements between family members or business partners
- Estate and retirement planning considerations
We work with Westchester entrepreneurs, family businesses, and professionals to ensure continuity and stability.
Why Business Succession Planning Matters
Without a formal succession plan, your business may face:
- Leadership voids or confusion after your departure
- Disputes among family members or co-owners
- Forced liquidation to pay estate taxes
- Loss of key customers, contracts, or employees
- Financial hardship for your heirs or surviving spouse
Business succession planning helps you:
- Preserve the value you’ve built over time
- Create a smooth, controlled transition of leadership
- Protect your family and employees
- Reduce estate and capital gains taxes
- Avoid costly probate or legal battles
The earlier you plan, the more options you have—and the more confident you’ll feel about the future.
Common Succession Planning Strategies
Every business is unique, and your succession plan should be too. We guide clients through a variety of tailored strategies, including:
Family Succession
Passing ownership or management to children or other relatives, with structured training, mentorship, and transition timelines.
Management Buyout (MBO)
Selling the business to trusted employees or executives who are already familiar with operations and customers.
Sale to Third Party
Structuring a sale to another company, investor, or entrepreneur, either during life or after death, with tax and legal considerations.
Partnership or Shareholder Agreements
Establishing buy-sell agreements with co-owners to govern what happens in the event of death, retirement, or disability.
Employee Stock Ownership Plan (ESOP)
Selling the business to employees through a qualified retirement plan while maintaining operational continuity and tax benefits.
We help you evaluate each path and choose the right structure for your business and family situation.
Key Elements of a Business Succession Plan
A comprehensive succession plan may include:
- Buy-sell agreement to set terms for transferring ownership
- Valuation of the business to ensure fair pricing
- Life insurance or disability insurance to fund buyouts or tax obligations
- Trusts or estate planning documents to control post-death transfers
- Leadership training and mentoring to prepare successors
- Contingency planning for death, disability, or divorce
- Tax and retirement strategies to ensure financial stability
We coordinate your succession plan with your estate, tax, and financial planning for a holistic solution.
Minimizing Taxes During Transfer
One of the most complex parts of succession planning is managing the tax impact of transferring your business.
We help you:
- Reduce or avoid estate taxes using trusts or lifetime gifting
- Structure installment sales to spread out capital gains
- Use valuation discounts for lack of control or marketability
- Fund tax liabilities with life insurance or liquidity planning
- Coordinate transfers with the federal gift and estate tax exemptions
Proper planning allows you to pass on your business efficiently—without burdening your heirs with unexpected tax bills.
Planning for Incapacity or Emergency
In addition to long-term planning, you should also be prepared for the unexpected. A succession plan should include provisions for:
- Sudden illness or incapacity
- Temporary leadership handoff
- Authority for someone to access business accounts and records
- Powers of attorney and healthcare proxies
We make sure your plan includes emergency measures that protect your company in any situation.
Business Succession and Estate Planning
Your business may be the most valuable part of your estate. Integrating it with your personal estate plan ensures that ownership transfers smoothly and in accordance with your broader wishes.
We help:
- Create Wills and trusts that reflect your succession goals
- Equalize inheritances among children who are and aren’t involved in the business
- Avoid probate and delays in accessing business assets
- Coordinate retirement income with business cash flow
Our integrated planning protects both your personal wealth and the company you’ve built.
Frequently Asked Questions About Business Succession Planning
When should I start planning?
The earlier the better—ideally at least 5–10 years before you plan to retire or step back from the business.
Do I need a valuation for my business?
Yes. Knowing your business’s fair market value is critical for structuring a buyout or estate transfer.
Can I stay involved after transferring ownership?
Yes. Many business owners remain as advisors or consultants during the transition to provide continuity.
What if I don’t have a family member to take over?
You can still plan for a sale to employees, partners, or third parties—and we can help structure those transitions legally and effectively.
Is business succession part of my estate plan?
Absolutely. Your business should be a key component of your estate and tax planning strategy.
Serving Throughout Westchester, NY
- Scarsdale
- Bronxville
- Larchmont
- Rye
- Chappaqua
- Pelham
- Armonk
- Mamaroneck
- Dobbs Ferry
- Tarrytown
How Cavallo & Cavallo Can Help
Cavallo & Cavallo brings decades of legal experience to business succession planning in Westchester. We work closely with business owners, family enterprises, and professionals to craft tailored, tax-efficient plans that ensure your business—and your legacy—endures.
Our services include:
- Structuring buy-sell and shareholder agreements
- Preparing Wills, trusts, and estate planning documents
- Business valuations and succession timelines
- Retirement and tax strategy coordination
- Conflict resolution and family business planning
- Legal documentation for sales, gifts, or ownership transfers
Whether you’re ready to step away or simply planning ahead, we provide trusted legal guidance every step of the way.
Speak With a Westchester Business Succession Planning Attorney
Your business is a lifetime achievement—make sure its future is secure. Contact Cavallo & Cavallo today to speak with a Westchester business succession planning attorney and start building a transition plan that protects your company, your family, and your peace of mind.
