As a fiduciary financial advisor in Weddington, Holland Capital helps business owners and executives plan for a business sale or equity payout, then decide what the money should do next. We work with clients in Weddington by video and phone, and meet in person by appointment at our office in Ballantyne, about 14 minutes away.
Much of what you have built may still be tied to one company.
For some Weddington households, that is a business. For others, it is employer stock or options that vest over time. Either way, a large share of your net worth may depend on one company.
At some point, some or all of it may turn into cash. Then you have to decide how much goes to tax, what to pay off and how to invest the rest.
Those decisions are easier to make before the money arrives.
Before a Business Sale or Equity Payout
How a sale is structured can change what you keep. An asset sale and a stock sale are taxed differently. Payment over several years can spread the gain across tax years.
Some owners of qualifying small companies may exclude part of the gain under federal rules. Our guide on qualified small business stock explains the test.
Equity pay has its own timing. Restricted stock units are taxed as pay when they vest. Stock options are taxed at different points depending on their type. Selling shares you already own may create a capital gain, which North Carolina taxes at the same flat rate as wages.
We build a plan for the year of the sale and the years around it. We also work with your CPA and attorney.
Our liquidity event planning guide covers the steps in order.
Giving Once There Is More Than You Will Spend
If a sale leaves more than your own plan needs, giving may become part of the plan. You might help children with a home, fund education for grandchildren or support a cause.
Giving appreciated shares instead of cash can avoid the capital gains tax on them.
Our guide on charitable remainder trusts covers one way to give and keep an income.
RETIREMENT ENGINEERING™
The Order Matters
Five retirement decisions and why timing matters.
Investing After the Money Arrives
A large amount of cash can feel like it needs to be invested right away. It usually does not.
We first set aside what you will need for taxes, spending and planned gifts.
The rest is invested under a written investment policy statement. It sets the mix of stocks and bonds, how much risk fits the plan, the role of each account and where different investments should be held.
At Holland Capital, investment management after a sale means managing the portfolio to that written plan.
Our estate and wealth transfer planning page covers what you intend to pass on.
How We Work with Clients in Weddington
Holland Capital Management is an independent registered investment adviser and a fiduciary. M. Chad Holland, CFA, CFP® works directly with clients and is responsible for the planning and advice.
Before we talk, gather current statements and whatever you have on the business or the equity. That might include a recent valuation, a grant summary or a draft letter of intent.
We will tell you what we see, which decisions come first and who else should be involved.
The first conversation is free. If there is work worth doing after that, we will define the scope and cost before you decide whether to move forward.
Holland Capital is based in Charlotte, and our office in Ballantyne is about 14 minutes from Weddington. If you are looking for a fiduciary financial advisor in Weddington, we meet by appointment at 15720 Brixham Hill Avenue, Suite 300, and handle shorter check-ins by video or phone. Holland Capital does not maintain a branch office in Weddington.
Map and directions: Holland Capital Management, 15720 Brixham Hill Avenue, Charlotte.
We work with clients throughout North Carolina. You can see the other North Carolina communities we serve here.
Our what we do page explains how a planning engagement works.
RETIREMENT ENGINEERING™
The Order Matters
Five retirement decisions and why timing matters.
Frequently Asked Questions
How Does a Fiduciary Financial Advisor Help Before a Business Sale?
Holland Capital acts as a fiduciary when providing financial planning and investment advice. We help you plan for the tax, timing and use of the sale proceeds before the money moves.
If sale proceeds are invested with us, that would increase what we are paid. We point that out before you decide what to do with the money.
When Should I Start Planning for a Sale?
Ideally, a few years before, when there is still time to affect the structure, timing and tax. Some choices, such as gifts of company shares before a sale, have to be made well before a buyer is involved.
Even with a sale months away, there may still be decisions to make before closing.
Where Would We Meet?
At our office in Ballantyne, about 14 minutes from Weddington, by appointment.
Your CPA and attorney are welcome to join, in person or by video. Shorter check-ins can be handled by phone or video.
Photo: Dclemens1971 / Wikimedia Commons / CC BY 4.0, cropped.
