ASG Partners' interview with David Drews, CPA, CFA, Client Manager and Managing Director at Cornerstone Advisors

(Continued from Part 1.)


How far in advance should business owners start considering how they will approach portfolio management when they have liquidated their company?

In our experience, entrepreneurs often focus on getting things done, and sometimes their perspective becomes too narrow at the business-sale stage and they may accept deals that are far less advantageous than might otherwise be possible.

We recommend that entrepreneurs engage us about six months prior to the sale of their business for pre-sale strategy and planning in concert with the team at ASG Partners to help owners focus on the personal finance side of the transaction, such as personal tax planning, estate planning, insurance, hedging/monetizing single stock positions, coordinating tax-efficient stock sales within SEC guidelines, and ultimately creating customized investment portfolios with the proceeds from the sale.

At six months prior to the proposed sale, we find not only that there is usually greater visibility on the valuation and the ultimate structure of the deal, but also more time for us to help structure estate and tax planning vehicles that maximize the final cash windfall to the seller.

Next question:
What are the most important factors to consider when making
decisions about how to invest the proceeds of a business sale? >>