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The Profile

Ted is a lifelong entrepreneur. At age 8 he had a paper route, at age 16 his own landscaping company, and at age 22 started a very successful technology company. Ted is married to Sofia who is a stay at home mom. Sofia is very active in the community and frequently travels internationally. They now have adult children, one of whom Ted would like to sell the company to. They have determined that it time for Ted to sell his technology company and enter a work optional lifestyle.

The situation

Founded 30 years ago, Ted’s technology company has grown in scope and now has partnerships domestically and internationally. It started with just him, his staff quickly grew to 20, then 40, and Ted now employees 180 full time employees. One of those employees is his daughter, Megan. Megan has identified that she would consider taking over the company, however is unsure if she would like to dedicate the time to running a corporation. Ted has been approached by multiple entities in the past who have expressed their desire to acquire his company, but refused at the time due to timing and the uncertainty regarding Megan.

Ted and Sofia reached the conclusion together that it is time for him to plan his . However they are left with the following questions

  • Ted has a feeling that for what he will be able to realize for his business he likely will never be able to spend down his assets. However he is unsure of what him and Sofia can comfortably spend in order to sustain inter-generational wealth?

  • As a result of Sofia’s travel, she has identified 2 charities that she is extremely passionate about. Ted understands that there are certain tax efficient gifting methods but does not understand fully his options.

  • Does their asset mix reflect proper risk levels for someone at their age?

  • Ted now feels that he is ready to sell the business, but is not sure how to navigate his various selling options.

The Process

  • Clarity

    • Ted and his daughter Megan have briefly discussed her future in the company before, but have never truly sat down to discuss it seriously. After meeting with Clearwater Capital, Ted identified that his first order of business was having an honest conversation to determine the destiny of his company. After a long conversation, Megan made the tough decision that she did not want to pursue running the company for the rest of her life. Ted determines he needs to re pursue conversations with the companies who had previously expressed interest.

    • After meeting with Clearwater

  • Conviction

Committment

The result