Surprisingly, few business owners understand the importance of establishing Buy & Sell Agreements (BSAs). Generally, people do not like to think of a future that does not include themselves, or a business partner, but this is an issue that prudent entrepreneurs ought to address before tragedies occur. It is important that a business be protected in case of an accident or illness and that the business has solid and unquestioned leadership in place, along with a sound succession plan.
The ultimate goal of a BSA is to provide a high level of protection and financial security to business owners, stockholders, and employees. It can be a particularly effective tool to help protect the interests of family-owned businesses.
To learn more about Buy-Sell Agreements, read the "Buy-Sell Agreements: An Effective Tool In Protecting Business Assets" by Robert J. Reaume in MBPA Business Knowledge Spotlight (http://michbusiness.org/member-pavilion/spotlight/business-knowledge/itemid/10228/moduleid/1168).