Broker Check

Small Business Owners

What sets successful small business owners and professionals apart is their ability to think ahead and plan accordingly. In business, as in life, we can’t predict everything, but sound financial planning can help you pursue your goals over the long term. It helps weave the net that can help to provide you support, even if you’re an established entrepreneur with a thriving business.

The Profile*

The Profile*

Name: Linda, Age 39

Married to: Lloyd, Age 59 - Retired

Occupation: Owner of a Construction and Building Firm

Current Net Worth: $750,000 (exclusive of business)

Business Worth: $612,000

*These are fictional characters and hypothetical scenarios. Please note that individual situations can vary and some strategies may not be suitable for all investors. Therefore, the information presented here should only be relied upon when coordinated with individual professional advice.

The majority of Linda’s wealth is locked up in her business she owns with one other partner. The business is growing fast. She knows she needs more detailed strategic and business planning, but do not know where to start. She’s hoping to retire in eleven years, but is concerned if the sale of the business and the investments she has accumulated will provide enough income to replace the salary she has been receiving. Linda and Lloyd have collected some financial products over the years within their personal net worth. She has become a purchaser of some stocks and term insurance to fund a buy-sell agreement. She does not have retirement plan as yet and has not accumulated a lot of investable assets.  Her husband, Lloyd, has recently retired from FAA as an upper- level manager and is collecting his pension. He has not rolled over his TSP with FAA to an IRA yet. He wants to defer getting his social security and TSP until he is 66 if possible - but he doesn’t know if this is the best decision.


The original buy-sell agreement created several years ago includes a valuation formula which does not fully address the fair market value of the business today. Not only is Linda uncertain of the value of the business, she doesn’t know how much she could sell her share of the business to her partner in order to provide a continuing stream of income into retirement. She is not sure how to set up the best distribution strategy for retirement and leave enough income for her husband and provide a legacy for her young children ages 12 and 9. She has not established a relationship with an attorney to begin estate planning, and she does not know where she would stand financially if something were to happen to Lloyd.

How We Can Help

At Advance Financial Lighthouse we take the intimidation factor out of the equation, replacing it with sound financial advice and actionable steps to help entrepreneurs and their families feel confident every step of the way. We design in-depth, personalized strategies that strive to improve performance and address long-term growth for your small business. We can develop Investment Plans to help Linda and Lloyd to have more clarity and feel more confident in their financial decisions. Our resources, guidance and support allow us to help them by:

  • Help establish a retirement plan to save and invest for retirement
  • Business and Personal Financial Planning: insurance, Cash flow and budgeting, employee benefits, retirement planning and investment management
  • Identifying and leading a team that includes Attorneys, CPA and Valuation professionals and Business consultants and CFOs for hire.
  • Reviewing proposals and appraisals from various valuation firms to assess valuations that best fit his company.
  • Conducting a risk analysis to determine the most appropriate customized asset allocation and investment strategy to provide a stream of income to replace her salary and bonus and help Linda and Lloyd maintain their current lifestyle through his retirement.