KENNESAW, Ga. | Aug 5, 2025

A Steady Approach to Lasting Success

Matt Losanno, Cinder Wealth Advisors

When your family business begins generating significant profit, it’s time to think beyond reactive planning. Advanced financial strategies can help you preserve wealth across generations, protect what you’ve built, and prepare your family for a strong future.

Here's a strategic roadmap to consider:

1. Maximize Tax Efficiency. Advanced retirement plans—like cash balance pension plans—allow six-figure pre-tax contributions. These tools reduce taxes while helping business owners rapidly build personal wealth outside the company.
2. Protect the Business. Key person insurance and well-structured buy-sell agreements can ensure continuity if something happens to a founder or partner. Done right, they provide liquidity and clarity during times of transition or crisis.
3. Build a Family-Focused Estate Plan. Families nearing estate tax thresholds should explore strategies like Spousal Lifetime Access Trusts (SLATs), Intentionally Defective Grantor Trusts (IDGTs), and gifting plans. These tools help transfer future growth to heirs while preserving family control.
4. Plan Ownership Transitions Early. Whether you envision passing the business to the next generation, key employees, or a third-party buyer, early planning allows you to shape voting rights, cash flow, and legacy on your terms.
5. Coordinate a Trusted Team. Your CPA, attorney, financial advisor, and valuation expert should work in sync. Advanced strategies only succeed when your team collaborates with the full picture in mind.

If your family business is thriving, the next chapter begins with strategic planning. Start now—so your success becomes a legacy that lasts.

When you’re running a family business, every financial decision carries more weight. You're not just building for the next quarter—you’re building for the next generation. Whether you're just getting established or entering a season of growth, taking time to strengthen your financial foundation can create stability and confidence for years to come.

Here are a few key areas to focus on:

• Separate business and personal finances. It sounds simple, but many family businesses blur the lines. Clear boundaries create transparency, reduce stress, and protect your long-term goals.
• Know your numbers—and what they mean. Understanding your cash flow, profit margins, and break-even point gives you the power to make decisions with clarity and intention.
• Plan for the unexpected. A solid reserve fund and a plan for downturns (or unexpected opportunities) can be the difference between surviving and thriving.
• Invest in financial education. Whether it’s for you or the next generation, building financial literacy within your family is one of the smartest moves you can make. Family Enterprise Center members receive 10% off courses through KSU's Community & Professional Education department.
• Work with people who understand family business. Advisors, accountants, and lenders who understand the dynamics of family enterprises can help you align financial strategy with family values.

Building financial strength doesn’t happen overnight—but every intentional step you take makes your business more resilient. And just like the roots of a tree, what’s happening beneath the surface matters most in the long run.

Want to learn more? 8 Financial Planning Tips for Small Business Owners

Once your family enterprise has strong financial roots, it’s natural to ask: What comes next? Perhaps it's prime time to explore strategic new ventures like offering emerging leaders the opportunity to grow revenues and build financial legacies, all while keeping your core business firmly grounded.

One powerful model is the “start-up within”—a mini-venture funded and supported by the family business. A great example is Stannah Stairlifts, a sixth-generation UK family company. After pitching successfully to the family board, Sam Stannah launched Uplift, a home-lift product designed for a younger demographic. Fueled entirely by internal investment, it now brings in double-digit monthly order growth, employs 85 staff, and is expanding into North America—all without disrupting the core stairlift business.

Here’s how this approach can build financial strength for future generations:

• Allocate strategic seed capital. Set aside a portion of your earnings or reserves to fund internal ventures that align with your long-term vision.
• Empower emerging leaders. Give them autonomy with defined budgets and clear financial KPIs, helping them own growth responsibly.
• Monitor financial performance closely. Establish revenue targets, margin expectations, and profitability timelines, just like an independent start-up.
• Leverage existing infrastructure. Tap into your supply chain, brand equity, and distribution channels to reduce costs and drive early returns.

By supporting innovation in this way, your family business doesn’t just maintain stability—it creates new revenue streams and prepares upcoming generations for leadership. As these ventures mature, they contribute financially and shape a diversified, future-ready enterprise.

Want to learn more? Stairlift scion reaches new heights through his 'start-up' within