85% of Successful Business Owners Have Outdated Estate Plans

A recent Forbes article reported that recent estate planning studies show that “around 85% of successful business owners have outdated estate plans, potentially leading to unintended consequences due to changes in tax laws and personal circumstances.”

It’s worth noting that since the formation of NPC five years ago, most business owners I’ve worked with had no estate plan before we worked together.

Do you find those statistics surprising? What could motivate successful business owners to overlook their estate plans?

Several factors might contribute to this oversight:

  1. Busy Schedules: Business owners have demanding schedules, leaving little time for the important yet not urgent task of estate planning.
  2. Perceived Complexity: Estate planning can seem daunting and complicated, leading many to postpone it. The good news is that great estate attorneys do most of the work and gently guide you through the decisions you need to make.
  3. Misplaced Priorities: Immediate business concerns often take precedence over long-term planning. (Again, the urgent tasks override the important ones.)
  4. Lack of Awareness: Some may not fully understand the importance of having an up-to-date estate plan. Some consider estate planning an age-related responsibility rather than an asset-related necessity. 

At Niche Partnership Consulting, we emphasize the importance of proactive planning. An updated estate plan ensures your wishes are honored, is an essential step to providing peace of mind for your loved ones, and secures the future of your business. We consider your estate plan to be the foundation of a sound contingency plan.

Our clients are encouraged to develop relationships with their estate attorneys and implement meeting lifecycles like:

  • Comprehensive Assessment: Your initial meeting will involve reviewing your current estate plan, if any, and identifying areas that need updating.
  • Tailored Solutions: Your estate attorney will use an iterative process to craft a plan that aligns with your personal and business goals and can be modified throughout your lifetime. Reading your estate plan and providing feedback is essential to make the result ideal for your situation.
  • Regular Reviews: Revisit your plan periodically (every five years or when life events occur) to ensure it remains relevant. Keep in mind that laws and inheritance taxes change frequently. Those are your estate attorney’s areas of expertise.

By taking these steps, you can avoid the pitfalls of an outdated estate plan and ensure your legacy is protected.

👇 Ready to take the next step in securing your future? Contact your estate attorney for a consultation, and ensure your estate plan is current and aligned with your goals.

Mary Beth Simón

Mary Beth Simón

Contingency Plan Guide | Strategic Planner | Keynote Speaker & Workshop Facilitator

The best time to plan for an emergency is when life is good, not when an emergency happens. Unexpected life events require all your energy and attention. Having a plan ready before it's needed relieves stress and allows you to face challenges with calm, presence, and confidence.

As the founder of NPC, Mary Beth works with her clients to create a roadmap that their business partner, team, or loved one can follow to keep business and life running smoothly in an emergency.

There's no better time than now to start creating your plan. Book a Free Consult Today or download my free Contingency Planning Kit.