A tight housing market is leading many young adults to postpone purchasing a home, choosing instead to go the rental route. Many simply don’t want to be encumbered with a mortgage and all of the responsibilities that go with home ownership.
Accumulating wealth turns out to be a double-edged sword for business owners. It certainly has its privileges, but it also comes with additional risk exposures. In a 2011 Zogby survey, 92 percent of people with a high new worth indicated concerns over the possibility of home invasions, muggings, kidnapping, and even random street crimes.
Business owners who have acquired a lot of personal assets face the possibility of having their assets targeted by creditors who want to resolve a business liability. This is especially true in the case of a business owner who guarantees a debt of the business with his personal assets.
As if business owners didn’t have enough to contend in managing their business and personal finances, there is one particular aspect of their financial lives that is often neglected until it’s too late, and that is the management of their estate.