Samantha Prasad and Julian Franch were recently quoted in the article titled “Planning for a Big Payday: How to Capitalize on Profitability When Major Liquidity Events Arise,” published by Canadian Family Offices.
Writes Joel Schlesinger: “Significant liquidity events can feel like winning the lottery. Only the stakes are much higher, given the fruits of your hard labour could be worth $20 million or even $100 million-plus. For many, liquidity events require radical shifts in mindset and strategy.”
Planning for a liquidity event is best done at least a year in advance, but the earlier the better. Says Julian: “You need enough time to implement presale tax optimization planning and then to have even more time so the business can grow to really take advantage of that plan.”
One reason time is beneficial is owners can work with experts with experience helping private clients deal with liquidity events. Says Samantha: “We help develop the right corporate and personal tax structures to help, when clients sell, maximize value and limit the necessary tax they pay.”