Sunset Family Business Radio

Recap: The Emotional Side of Succession and Estate Planning

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On June 17, 2010, Family Business Radio’s hosts Meredith Moore and Pat Romboletti welcomed James Robinson, Partner at Schiff Hardin LLP and Stephanie Brun de Pontet, Ph.D. an associate at The Family Business Consulting Group, Inc., to discuss estate planning—its technical and emotional aspects.

Estate planning is about so much more than business and money and inheritance. It is about the legacy you want to leave—for the next generation and their children and all the children to come. Jim believes that if you keep the legacy concept and your invaluable family relationships uppermost in your mind, it really keeps the whole estate planning process on track and in alignment.

That being said, conflict avoidance is a predominant aspect of most family businesses, according to Stephanie. If they fear a conflict, the family will avoid the topic, such as succession planning. In his work, Jim sees two major manifestations of conflict avoidance:

• A reluctance to engage in the estate planning process or planning for succession at all.
• Once the estate/succession planning conversation is started, a reluctance to involve the adult children in the discussions.

Stephanie noted that in the long run, however, that avoidance only compounds problems. For example, a founder may pass away with unsigned succession documents on her desk. Jim said, “I can draft the best documents in the world, but if they’re not signed, they are worthless. We work hard to avoid this circumstance, because it’s a hard one to fix when it’s too late.”

In grappling with family business owners who try to avoid any type of planning, Stephanie referenced a common perception she sees among seniors—“Once I’m gone, whatever happens will happen. It won’t be my problem.” However, the cost of this attitude is huge, especially the emotional cost which seems to hit heirs the hardest. She has seen family relationships disappear as a result.

Stephanie urged people to understand that succession is a process, not an event. It needs to be as transparent as possible. A 5-, 10-, 15-year time horizon is optimal. And it can’t wait until the last minute.

You can begin the process by putting together a competent, trusted team—all family members/stakeholders, financial advisors, family business specialists, estate attorneys, and CPAs. Jim added, “The choice of team members needs to be client-driven since every family business is unique. No single trusted advisor has a handle on the full picture, which is why you need a team.” Also it is critical to include all the stakeholders in the process so that they are part of the decision-making. It helps avoid anyone feeling like the final solutions and their consequences were imposed upon them.

In your estate planning discussions, remember to consider scenarios regarding disability. In Jim’s practice, this issue is rarely addressed in the documents he reviews. If it should happen, you have to go to court and have a guardian appointed for the incompetent business owner who still has legal control of the business. To avoid this unfortunate circumstance, address disability in the operation agreement. “Be careful about the definition used to describe “disability,” Jim urged. “If you have a disability policy, use its definition.”

Regarding equity and its equalization—sometimes it is not practical to divide the estate equally among your heirs, especially when many of the assets are illiquid. One strategy Stephanie employs is to encourage the founder/patriarch to “take a raise”; that is, to take money out of the business so that they can diversify—and liquefy. It helps with the choices regarding estate planning and also with the emotional task of letting go.

From his years in law school, Jim shared the fact that everyone has a will—whether you have a document or not. Because if you don’t have your wishes expressed in a formal will of your own making, then the state of Georgia (or wherever you live) will be happy to supply a will for you. Although it may not even come close to being something you would want to happen. Jim: “It is rarely workable or satisfactory to anyone.”

This penetrating discussion is available as a download from our website. You’ll be impressed with the breadth and depth of Jim and Stephanie’s knowledge on this hugely important, highly emotional topic.

James R. Robinson, Partner, Schiff Hardin LLP, Atlanta, GA – 404-437-7038  Email: jrobinson@SchiffHardin

Stephanie Brun de Pontet, Ph.D.  email: Brundepontet@efamilybusiness.com  678-773-1675 The Family Business Consulting Group, Inc. · 1220-B Kennestone Circle Marietta GA  30066 Phone 888-421-0110 · Fax 770-425-1776

Estate planning for the family-business owner encompasses much more than developing tax strategies.  What’s at stake is the survival of the business itself—often the sole source of the family’s wealth.

There is often a forgotten component, that when omitted, can result in a perfectly drafted estate plan that ends up embroiling the survivors in court battles for years.  That factor is the emotional and very personal side of planning for the future of the business and the future of the family.

Without addressing the underlying emotional issues that often reside just below the surface before you focus on the technical aspects of estate planning, your time and money may be wasted and your plan may be doomed.

Our guests today, James Robinson, Partner, Schiff Hardin LLP, and Stephanie Brun de Pontet, Ph.D., an associate of The Family Business Consulting Group, Inc. bring a wealth of first-hand experience helping family business owners address both the psychological and legal aspects of succession and estate planning.

Tune in at 1:00pm on June 17th to learn first-hand how you can ensure a successful transfer of your business and your wealth.

Our guests:

James Robinson

James R. Robinson focuses his practice on the wealth transfer and business succession planning needs of families and closely-held businesses. He concentrates on estate and gift planning, business succession planning, wealth preservation, sophisticated  tax planning, and charitable giving.

He also provides fiduciary counseling and dispute resolution, and advises tax-exempt organizations on formation and operations.

James is the author and co-author of numerous publications on his area of expertise, including his most recent article, “The Sea Change in Generational Wealth” published in the June, 2010 issue of Private Wealth and Financial Advisor magazines.

He is a graduate of the University of Colorado, received an M.A. from New York University..  James graduated from Emory University School of Law (J.D. with high honors) and was Executive Managing Editor of the Emory Law Journal.  He has been admitted to the bar in Georgia, Florida, Tennessee and the U.S. tax Court.

James R. Robinson, Partner, Schiff Hardin LLP, Atlanta, GA – 404-437-7038  Email: jrobinson@SchiffHardin.com

Stephanie Brun de Pontet, Ph.D.

Stephanie Brun de Pontet, an associate of The Family Business Consulting Group, Inc., specializes in advising family enterprises facing important transitions.

Stephanie has extensive experience working with sibling teams, and developing training programs to educate the next generation about stewardship, and other family business best practices.  A recognized expert on the topic of succession, Stephanie frequently collaborates with clients on key aspects of this process, such as establishing succession plans, drafting needed policies and oversight structures, and building a framework for next-generation collaborations.

Stephanie brings a unique combination of knowledge and experience from the fields of management, entrepreneurship, and psychology to her work with family business clients. Prior to coming into the field of family business, Stephanie worked for a number of years as an entrepreneur and an advisor to closely held businesses. She holds a PhD in psychology as well as a Masters in Business Administration (MBA).

In addition to her consulting work, Stephanie is the Executive Editor of the Family Business Advisor and teaches the Family Business Management course at Georgia State University. An active speaker and researcher, Stephanie frequently presents on various topics of “Best Practices” in family business management. In 2008, Stephanie was awarded the Family Firm Institute’s Outstanding Doctoral Dissertation Award for her research on family business succession, and she currently serves on the editorial board of the Family Business Review.

Stephanie has also served on advisory boards for a number of non-profit organizations, and is currently active in her children’s school and the Metro Atlanta Chamber of Commerce. While living in Canada, she was a board member of the Montreal chapter of the Canadian Association of Family Enterprise (CAFÉ).

Stephanie moved back to the United States with her husband and two daughters in 2005, and they live in Atlanta, Georgia.

Stephanie Brun de Pontet, Ph.D. email: Brundepontet@efamilybusiness.com 678-773-1675 The Family Business Consulting Group, Inc. · 1220-B Kennestone Circle Marietta GA 30066 Phone 888-421-0110 · Fax 770-425-1776

Sunset Family Business Radio

Recap: Marriage, Divorce and Your Family Business

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Family Business Radio’s guest on June 10, 2010 was Tamar Oberman Faulhaber, family law attorney with Vernis & Bowling of Atlanta.  Hosts Meredith Moore and Pat Romboletti held a fascinating discussion with Tamar, inspired by the sobering statistic that, while just 30% of family businesses transition to the second generation, in the event of divorce, the succession rate is even smaller with only 10% of spouses continuing to operate the family business together.

One of Tamar’s specialties is that she starts with a new client by asking what the needs and goals are at the end of the process; that is, what will improve their lives once everything is over? Beginning with the end, in other words. Once those points are articulated, then the legal strategy aligns with achieving those goals, which helps avoid getting bogged down in revenge and retribution (however human those tendencies are). In this way, the focus is on the future, rather than the past.

According to Tamar, the best thing that you can do for yourself if you are contemplating a divorce is to get educated on Georgia law and how it impacts divorce. The more you are informed about the particularities of Georgia law, the better off you will be. For instance, if someone already has a business when first getting married and there is a subsequent divorce, then only the performance of the business during the marriage (its growth or decline) is figured into the divorce settlement. Also, in Georgia, property is divided according to what is equitable, which means what is fair and not necessarily that the assets are divided in half. For alimony and child support, income is considered to be gross income from any and all sources.

Common mistakes Tamar has seen with divorces in family businesses.

• Lack of pre-planning. When there’s a new husband or wife, whether working or non-working, introduced into a family business, there are important business aspects to navigate around and through.
• To operate in panic-mode. She has seen people who go into shellshock and completely shut out their lawyers, not even sharing relevant information. “The #1 asset you have in court is your credibility,” she said. The greater the transparency, the greater the credibility.
• The unpredictability of  juries—(and in Georgia—you could easily find your fate I in the hands of a jury). While judges know the intricacies of what works with divorces, juries do not necessarily. They are notorious for thinking it’s all so easy—“just give him half of the business…”—and not understanding the impact on the business. Besides, juries are often expensive and are risky for both sides. And yes—the talent of your lawyer really comes into play with juries.

A typical trusted advisors team that Tamar puts together might include the client’s CPA, a forensic CPA, financial advisors, occupational therapist (to assess the ability of a person to earn a living), and a business evaluator-appraiser. “It all depends on the circumstances,” she said.

And what can you do before it gets to the divorce stage? When first entering into a marriage, it’s not just about flowers and china patterns. Be clear-eyed about the family business. Ask yourself: what is the worse thing that can happen? Talk about it, matter-of-factly and develop workable solutions. Again, think in terms of the end—but with this significant change: what do you want out of the marriage?

This entire conversation is available as a download from our website. Please do so. Tamar has a practical, pro-active and positive approach to handling divorces that we know you will appreciate.

Tamar Oberman Faulhaber, Esq., Vernis & Bowling of Atlanta, LLC, 7100 Peachtree Dunwoody Road, Suite 300, Atlanta, Georgia 30328, Phone: (404) 846-2001, Fax: (404) 846-2002, Email: TFaulhaber@Georgia-Law.com, Website: www.Georgia-Law.com

We have shared the statistic before—only about 30% of family businesses transition to the second generation.  In the event of divorce, the succession rate is even smaller, and only 10% of spouses continue to operate the family business together after divorcing.

While most couples prefer to avoid having the difficult conversation about “what if” we were to ever divorce, the wisest approach for financial well-being and the continuation of your business is to plan a comprehensive strategy upfront.

Our guest on Thursday, June 10th is Tamar Oberman Faulhaber, Esq with Vernis & Bowling of Atlanta, LLC, who will provide a comprehensive view of this topic.  You can plan on coming away from this interview with a good understanding of Georgia law and of what can happen to you and your business when you are not prepared for the break-up of a marriage.  As important, you will come away armed with knowledge and with a sound strategy on how to avoid the pitfalls.

Our guest:

Tamar Oberman Faulhaber, Esq.

Tamar Oberman Faulhaber was born and raised in Oak Park, California. She graduated Magna Cum Laude with Honors in Philosophy from Lafayette College in Easton, Pennsylvania in 1990, where she was also a Marquis Scholar. She earned her Juris Doctorate from UCLA Law School in 1993, where she served as editor of UCLA Law Review and was a recipient of a Child Abuse Fellowship. 

Tamar clerked for the Honorable Alford J. Dempsey, Jr., in the Fulton County Superior Court for approximately five years. She served on the Rules Committee to establish and maintain the Fulton County Family Division which served as an example as a successful model of a Family Court to other counties in the State. Tamar also served on the Forms Committee of the Fulton County Family Law Information Center to assist citizens of the State to represent themselves in domestic matters.

Tamar volunteered with the Family Law Center for the San Fernando Valley in California and with Victim/Witness division of the DeKalb County Solicitor’s Office in Georgia, assisting victims of domestic violence in family law related matters.

Tamar is a trained Guardian ad Litem and Domestic Mediator, and over the past fifteen years, she handled all types of Family Law matters from Paternity and Legitimation actions, Juvenile Court matters, Domestic Violence cases, Divorces, Custody cases, Child Support matters, International Custody disputes, Contempts, Appeals, and Jury Trials.

In addition to the practice of Domestic Relations Litigation, Tamar also taught Domestic Relations Law as an adjunct professor at John Marshall Law School in Atlanta.

Tamar is admitted to practice law in California, Arizona, and Georgia.

Tamar Oberman Faulhaber, Esq., Vernis & Bowling of Atlanta, LLC, 7100 Peachtree Dunwoody Road, Suite 300, Atlanta, Georgia 30328, Phone: (404) 846-2001, Fax: (404) 846-2002, Email: TFaulhaber@Georgia-Law.com, Website: www.Georgia-Law.com

Sunset Family Business Radio

Recap: Kaufman Realty Group and Vistage-A Successful Partnership for Over a Decade

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On June 3, 2010, Pat Romboletti and Meredith Moore hosted Larry Hart, who serves as a Master Chair with Vistage International Group, and Craig Kaufman, Founder and President, Kaufman Realty Group, on Family Business Radio’s weekly program.

Larry began by describing Vistage, a company in its 53rd year, as the world’s largest CEO-support organization. It is structured by groups made up of 12-15 members whose purpose is to develop these top people in their various companies so that their businesses—and the individuals themselves—flourish. At which point, Craig jumped in and described Larry’s role as Master Chair  as “a great herder of cats.” 

Vistage encourages its members to get above the fray. Larry said, “I tell all my CEOs their job”, which is to:

• Set the long-term vision and culture
• Hold everyone accountable
• Establish and maintain the critical relationships for the business
• Develop key people.

As head of his own company, Craig has been a Vistage member for 12 years. Stability is what he prizes from his association with Vistage since his business is hyper-cyclical. He also admitted to a common problem of CEOs and family business owners—that they get buried and isolated in running the day-to-day operations. “If we don’t have people to help us work on the business rather than in the business, we can become very myopic,” he said.

Craig mentioned specifically one of Larry’s consistent mantras—“You plan for a crisis before the crisis.” For instance, in February 2003, an economist spoke to Larry and Craig’s group who basically forecasted the economic downturn we are now in. Craig said that he remembered so many people felt broadsided by the crash of 2008. However, after hearing the economist, his group’s focus shifted to creating value in their companies and three members sold at the top of their markets, prior to the crash.

By using his group as outside advisors, Craig has leveraged his experience at Vistage. He pointed out, “Most of us can see things so clearly in others that we are blind to in ourselves. In the beginning at Vistage, we were too nice to each other. But then we realized that we were investing too much time and money to “be nice.” For instance, I tend to fret on things. Finally one day, someone in the group called me [the name of a common acquaintance] who was a known worrier and fretter. I vowed to never be called that name again.”

Another group that Craig regularly deals with is his family, who are investors in several of his real estate ventures. Theirs is a yin and yang relationship, as with so much in life. He said that the good part is when you prove your credibility in your area of expertise. The danger in his circumstance is when you treat your family as family rather than as investors. Inevitably, the day arrives when you have to deliver bad news. He said he used to hate certain family get-togethers, even weekly phone calls, until he developed his “body armor” so that he could handle these encounters with confidence. With a consultant, he developed a script, a set of guidelines and boundaries, to help him get through the especially hard ones. He also shared the advice from his father, who spent his career on Wall Street: “Losses are losses. Don’t fret about it. Move on.”

Our guests mentioned a few worthy books:

Recommended by Larry:

• “Fierce Conversations” by Susan Scott, a Vistage chair. An impactful book for business owners that shows them how to have tough talks. By the way, it is fierce, not in its negative sense, but whenever something is a real experience leading to real change. Another bit of wisdom from Craig and Larry: you have to be willing to engage in some fierce conversations with your trusted advisors.
• “Growing Pains” by Eric G. Flamholtz and Yvonne Randle. A book on how to transition from an entrepreneurial company to a professionally-managed one.

Recommended by Craig:

• “E-Myth” by Michael Gerber. Craig said it helped him realize that business was a marathon, not a sprint.

Please download the entire conversation from our website. Craig and Larry shared a wealth of hard-won knowledge and wisdom that is sure to benefit you.

Craig Kaufman, Kaufman Realty Group, 3098 Piedmont Rd., Suite 490, Atlanta, GA   Telephone: 404-816-0036
____
Larry R. Hart, Master Chair, Vistage International, Inc., 3712 Eaglerock Drive, Atlanta, GA 30340   Direct: 770.938.8174  •  Cell: 404.405.0759  •  Fax: 404.521.4992   •  Email: larry.hart@vistage.com  • Website: www.vistage.com/chairs/larry.hart.html

Craig Kaufman launched Kaufman Realty Group in 1994 and the business continues on its successful path even during these challenging times.  Craig is the only member of his family responsible for running his business, but his family members have played a vital role as knowledgeable, proactive investors in his business.  Craig will help us understand both the ying and yang of such an arrangement. 

In addition, for the last 12 years, Craig has been part of a Vistage International Group led by our other guest, Larry Hart.  Larry is a Master Chair with Vistage and he and the other members of the Vistage group have also played key roles in Craig’s success.

Together, Craig and Larry will provide insights that we know you will find valuable for your business as well.

Our guests:

Craig Kaufman

Craig Kaufman founded Kaufman Realty Group (“Kaufman”) in 1994.  As President, Mr. Kaufman’s responsibilities include leading the company vision, establishing strategies for the portfolio, new business development, and managing the executive team. Kaufman Realty Group is a full service real estate investment and management firm. In 1997, Craig was principal and co-founder of DECK Realty Group, which developed and managed office properties for small to medium size tenants.

In January 2000, he took 100% control of DECK and rolled its operations into the Kaufman banner. From 1986 to 1994, Mr. Kaufman gained valuable experience as development analyst, appraiser and consultant in New York City and St. Louis, for such firms as Olympia & York, Colliers Turley Martin and Dinan Real Estate Advisors. Craig holds both a master’s and bachelor’s degree in Civil Engineering from Washington University in St. Louis.

Craig resides in Atlanta, Georgia, and is involved with many civic and professional organizations. He is on the Board of Directors of Camp Sunshine, a non-profit camp for children with cancer; on the Board of Trustees of the American Jewish Committee; a Board Member of the Anti-Defamation League. Additionally, Craig is a member of the Urban Land Institute.

Craig Kaufman, Kaufman Realty Group, 3098 Piedmont Rd., Suite 490, Atlanta, GA – Telephone: 404-816-0036

…..
Larry Hart

Larry Hart may have only one vowel to his name, but he’s certainly made the most of it! An Atlantan since 1972, he’s amassed accolades and awards for his business acumen, and he advises an A-list of action-oriented executives. He’s accessible, accountable, and an all-around affable guy.
 
Larry is recognized as a leading business authority by the Atlanta Business Chronicle. Although he is too busy now to write a regular column, the Chronicle has continued to seek his expertise on strategic planning and business consulting.
 
Larry’s corporate CV includes Union Carbide, Air Products and Chemicals, and Waddell and Reed. As an entrepreneur he has been a founder and an acquirer, and currently owns several childcare franchises. In addition, he’s a certified instructor in Fierce Conversations (a method of improving communication through more effective dialog) and a past Certified Financial Planner. Larry holds his degree in Chemical Engineering.
 
Larry is an active member of the Rotary Club of Dunwoody (President 2009-2010), Georgia. Married to Stephanie, a retired first grade teacher, they have 3 children and 8 grandchildren. Larry and Stephanie reside in Atlanta, Georgia with their miniature pinscher, Nutmeg. When not spending time with family, Rotary or working, he can be found playing competitive golf.

Larry R. Hart, Master Chair, Vistage International, Inc., 3712 Eaglerock Drive, Atlanta, GA 30340
Direct: 770.938.8174 • Cell: 404.405.0759 • Fax: 404.521.4992  • Email: larry.hart@vistage.com  www.vistage.com/chairs/larry.hart.html

Sunset Family Business Radio

Recap: Practical Strategies for Coordinating Efforts to Ensure Continuity of Your Family Business

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For the May 27, 2010 Family Business Radio program, hosts Pat Romboletti and Meredith Moore welcomed commercial banker Brad Beisbier, Sr, Vice President RBC and Cleve Hill, Attorney at Law with the Bettis Law Group.

Most banking relationships are based on the need for capital and cash management needs. But as Brad said, your banker can actually be one of your trusted advisors and actually a business partner if you develop the relationship strategically. For instance, quarterly reviews with your banker are a very useful tool for you as a business owner because it is easy to lose sight of long-term goals when you are focused on the day-to-day. Your banker can give you their perspective from the outside looking in. Quarterly meetings can also be used to put plans in place that help you better take advantage of opportunities when they arise. Pre-emptive actions that Brad suggested: be as transparent as possible by sharing financial statements and tax returns.

Additionally, Brad said to consider including more than just the founder at the table when the banker is there, especially invite all potential players in the company’s succession plan. In this way, relationships develop all the way around.

This opened the door for a great discussion on the importance of getting out from under the day-to-day details to develop long-range goals.  Cleve noted that in working with his clients, he seeks to put together a full compliment of trusted advisors who act as an informal board so that you can gain valuable third-party perspective and input.

From an attorney’s point of view, Cleve pointed out that in putting together your team of advisors, particularly as relates to succession planning, your team of advisors should be tuned into your specific needs. “The advisors that most often fail are the ones who come in with a pre-packaged plan and say this is how it has to work,” he said. Rarely are answers arrived at in one meeting. It is most often an in-depth conversation that takes place over time, he said.

In case you need incentive to do your estate/succession planning, Cleve shared a worst case scenario from real life.  He shared that a business owner died suddenly with no will, no trust, no planning, children from two marriages and left the business with substantial debt. In the aftermath, the family disintegrated and untold amounts of money have been spent on litigation and the continuation of the business is in jeopardy. It is a textbook case of what you don’t want to happen.

So—where to start with estate and succession planning?  Among Brad and Cleve’s suggestion are life insurance, buy/sell agreements and developing key employees outside the family as leaders in waiting. Cleve said, “These are moving pieces, depending on what can be afforded, what can be agreed upon. Do a cost/benefit analysis. Also be mindful of the psychological piece—and answer the question “what can we live with?”   Cleve’s insight on Georgia law was especially enlightening and not what you might have expected.

This discussion provided excellent specific suggestions that any business owner can use immediately so don’t hesitate to download the entire discussion.  You will receive loads of practical information for your family owned business on these complex, but very necessary issues.

Brad Beisbier, Sr, Senior Vice President, RBC Bank, (678) 987-7183

John Cleveland (Cleve) Hill, Bettis Law Group, LLC, 404-475-8041

While succession and estate planning are two critical pieces to any family-business strategy, too often key advisors are left out of the equation when developing those plans.  In so doing, you can jeopardize all of your best efforts.  On the other hand, coordinating efforts and getting everyone in the family involved with your team of advisors can make all the difference.

On our May 27th broadcast, our guests will be Brad Beisbier, Sr, SVP, RBC Bank and Cleve Hill, Attorney at Law, Bettis Law Group, LLC, who will help us understand how to leverage your trusted advisors to ensure that your family and family-business can weather even the most difficult times.

Our discussion will look at some situations that did not turn out as the family-business owner hoped and we will discuss strategies to prevent those situations for your business.

As always, there will be lots of useful and practical information shared and many take always for you and your business.

Our guests:

Brad Beisbier, Sr

Brad Beisbier, Sr was born and raised in Wisconsin where he received an undergraduate degree of Business Administration in Finance from the University of Wisconsin – Oshkosh.  After completing Wells Fargo Bank’s (formerly Norwest) management training program, Brad and his wife relocated to Atlanta where he joined Bank of America (formerly NationsBank).  While at Bank of America, Brad assumed numerous production and leadership roles.  He also received his MBA from Georgia State University’s Robinson College of Business and his Green Belt Certification as part of Bank of America’s Six Sigma efforts.

Brad joined RBC Bank in February, 2006.  Since then, he has been recognized as a Star Performer and served in several different production, strategic, and leadership roles.  Brad has built a portfolio of commercial operating relationships with an emphasis in manufacturing, distribution, and various professional services.  He serves on the board of the Greater North Fulton Chamber of Commerce and is a member of several industry and community associations.  Brad maintains a residence in Cumming, GA along with his wife and their three children.

Brad Beisbier, Sr, Senior Vice President, RBC Bank, (678) 987-7183
    

Cleve Hill

John Cleveland (“Cleve”) Hill  joined Bettis Law Group, LLC  in 2007 as an associate attorney.  Mr. Hill began his law practice in 2004 at Powell Goldstein LLP (now Bryan Cave Powell Goldstein), one of Atlanta’s oldest and largest law firms, where he practiced commercial bankruptcy law.   Presently, Mr. Hill focuses his practice in the areas of estate planning, including wills, trusts, special needs planning, powers of attorney, health care directives, probate and estate administration, conservatorships and guardianships, and small business entity formation.

A native of Cherokee County, Georgia, Mr. Hill attended Oglethorpe University in Atlanta, Georgia, where he received his B.A., magna cum laude, in 2001. While at Oglethorpe, Mr. Hill served two terms as student body president.  At graduation, Mr. Hill received the prestigious James Edward Oglethorpe Cup, which is awarded annually by the faculty of the university to an outstanding senior, along with the Pattillo Leadership Prize, the Charles Longstreet Weltner Award, and was an inaugural recipient of the President’s Community Service Award.  

Mr. Hill attended the Mercer University Walter F. George School of Law in Macon, Georgia where he obtained his J.D., cum laude, in 2004. While at Mercer, Mr. Hill served on the Editorial Board of the Mercer Law Review and graduated in the top 10% of his class. 

Mr. Hill resides in Canton, Georgia with his wife, Allie, and puppy, Reagan.  The Hills attend Woodstock First Baptist Church.   Mr. Hill is very active at his alma mater where he currently serves on the Oglethorpe University National Alumni Board of Directors and the President’s Advisory Council.  From 2007 to 2009, Mr. Hill served on the university’s Board of Trustees.  For the 2008/2009 academic year, Mr. Hill served as Chairman of Campus Life Committee of the Board of Trustees.

John Cleveland (Cleve) Hill, Bettis Law Group, LLC, 404-475-8041

Sunset Family Business Radio

Recap: Lisa Glauber Shippel – Estate Planning-Where Do you Start?

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On May 20th,  Family Business Radio host Pat Romboletti  flew solo (co-host Meredith Moore was out of town) and welcomed lawyer Lisa Glauber Shippel , Rolader & Shippel, P.C., who has a large part of her practice devoted to estate planning of all sizes. In addition to being a certified mediator in the State of Georgia, Lisa grew up in a family business and is now the sibling not involved in that family business.

Lisa’s family has a business operating camps in the NY area, but Lisa opted out and chose the path to a law career instead. 

Lisa and Pat began the discussion on estate planning by talking about the pitfalls to not having a proper plan in place. For instance, it complicates banking relationships and the loan process which the current recession has already complicated. It makes it hard on the heir in the business because it distracts them from taking over the reins. And, something Lisa knows about first-hand from her own family situation, if you have some children working in business and some not—how do you equably leave the estate to your children? What if the non-involved heir wants to get into the business now? If you want to leave the business to the child working in the business, how do make a fair distribution to your children not in the business? As you can see, the issues are varied and very thorny.

So–where to start estate planning process?

• First, sit down with a team of experts—attorneys, wealth managers, and CPAs. With their help, you will want to customize a plan based on your individual needs. “No form, no cookie cutter plan, will work,” Lisa said. “Every family-owned business has different assets and different goals. Your experts need to understand all the nuances of your business.” By the way, Lisa also pointed out that you need to have a sense of security that you can say anything to these people, without fear that you will be judged or information will be leaked. Honesty is the best policy when putting together a workable estate plan.
• Before the first meeting, gather a list of assets with their valuations. Also have in mind who your beneficiaries are. An end vision is nice to have, too.
• Be prepared to discuss succession planning as regards the management of the business. It is a complex process that professionals who know what they’re doing can make easier for you.
• There also needs to be a discussion about the way you want the business valued. That is, how to get it appraised—whether to go for the highest or lowest valuation—to reduce the in-fighting once you’ve passed.
• And the point at which to do all this? “Do it right away,” Lisa advised. No matter the size of your company, it’s always better—actually, cheaper—to have something in place.
• Finally, understand that much is out of your control. The estate plan is not a permanent document—it changes with laws, as your family circumstance change, as the economy changes.

In the end, it is a gift, a wonderful legacy, that you can give your children upon your death to have thought through estate planning issues. Don’t be daunted. While unfortunately there are no black and white rules on how to set up an estate plan, you can organize a team of trusted advisors to help get you there.

Listen to all of Lisa’s excellent insights by downloading the full broadcast here.

Lisa Glauber Shippel, Attorney  at Law/Licensed Mediator, Rolader & Shippel, P.C., 11660 Alpharetta Hwy. Suite 630, Roswell, GA – Telephone: 770-442-0330. lisa@roladerandshippel.com