A limited number of states in the United States provided for an Asset Protection Trust, that allows you to avoid or reduce taxes paid upon transfer of any of the trust assets.
Exit Planning Tips
For a family involved business it may be appropriate to create a Family Council as part of the exit planning process. This council would consist of all family members working in the business or impacted by the sale or business transition.
For some business owners, it may be useful to continue to manage your business, but to take out some of your equity by selling part of your company to private investors.
Make sure that key employees stay around until the exit event and sometime even afterwards. There are a number of techniques that can be used to incentivize key employees to stay until the exit event.
During the preparation phase leading up to a sale transaction, one should consider have disability insurance to protect both the company and your family.
Often a step missed in planning for the sale of a business is for the seller to conduct an accounting and legal due diligence process on their own assets and legal documents.