Corporate Planning Worksheet

(A) ISSUES TO ADDRESS:

• You have built a successful business but can you access your corporate capital without a large tax bill?
• Would your family be able to properly liquidate/sell your shares & business?
• Are your shares protected if something happens to you or your partner?

(B) BENEFITS OF OUR REVIEW

• Protect your business from financial hardship in the event of the death of a key shareholder.
• Enjoy the benefit of additional tax-deferred investment for the key shareholder to accumulate wealth for retirement.
• The benefit of removing money from your company tax free.

Corporate Planning Worksheet

Corporate strategies that use insurance as a tool to create a tax efficiency and protection for your company.

Q&A

• What drives your business, key employees or you? _____________________________________________________________.
• How is your current corporate insurance program setup? _____________________________________________________________.
• When was the last time you had your shareholders agreement reviewed? _____________________________________________________________.
• Is your shareholders agreement setup to take care of your family and the business? _____________________________________________________.
• If someone was to walk in off the street today what would be the amount you would sell your business for? _________________________________.

Potential issues of failing to plan properly:

• Partnership not 100% controlled
• Does the shareholder agreement address all the issues?
• Is there proper funding for the agreement.

Advantages of Shared Ownership

Example ABC Inc generates 1 million in gross revenues.

INCOME: Shareholder Harold Baker, age 43, male, pay’s himself a yearly average of $100,000, tax paid is $25,176.17 (B.C tax law).

USING DIVIDENDS: Harold would like to access an additional $20,000 per year average using dividends; tax paid $5,791.67 (B.C tax Law).

USING A SHARED OWNERSHIP PROGRAM: Harold can access $20,000 and pay approximately $1000 in tax (based on above scenario). “Shared Ownership could be the most tax efficient solution for your business.”