Starting and running your own business can bring new and exciting freedoms along with some stressful uncertainty, all of which can be made better through proper planning and knowledge regarding the risks unique to the path you have chosen.  Any unknown risks can unnecessarily create anxiety, either your own or that of your family or employees.    Having a partner or two or nearing retirement age can sometimes add to that anxiety, too.

Our experienced business attorneys will help you chart the best course for you whether starting a new business, buying an existing business, managing operational legal issues, or planning for your business’s succession.

I get asked a lot, “how do I keep my business properties or rental properties in the family after I’m gone?” The best way to protect your business properties is to start your estate planning as soon as possible. Protect your rental property with these strategies.

Start with the information you have about your business, your assets, and your family. Start your plan now and as your business and family grow, keep updating it. The best estate plan isn’t formed in one setting, it is developed over a lifetime. What’s the worst thing you could do? Nothing. Not planning for your business properties is a sure way to leave a mess for your loved ones. I’m giving you some strategies to help you start your plan, and to ensure it is as thorough as possible.

If you have a family business or a rental property that you want to keep in the family, or if you just want to avoid leaving a mess behind for them, give us a call at the number below to schedule a strategy session with one of our attorneys who can help you work through the process of making sure that your intentions are carried out, management’s intentions are carried out, and that the business that you’ve spent so long building up creates a nest egg for your family instead of a nightmare.

How do I make sure that my lake house or family cottage stays in my family after I’m gone? I’ve been working with families for over 20 years answering this very question, and the one thing that comes up time and time again is that there isn’t a best way. There’s the best way for your family and for that property but there is no one perfect, ‘right way to go about it. There are three things we need to consider when setting up your plan for your vacation home.

First, the value. We understand that the value of your cottage or lake home isn’t the number on the piece of paper. There are potentially generations of memories you want to pass on to the next generation. In Michigan, the value of the cottage oftentimes gets capped for tax purposes. it’s very important that you have a very thought-out management team and management succession process for your cottage. You don’t want your cottage to end up being managed by your sister’s cousin’s sons.

The next thing I want you to consider is how is the cottage going to be used? And also, how does everything get paid for this cottage? The best thing to do is have an endowment fund that will produce enough income to pay for everything. That makes it a whole lot easier for everyone else, and that’s the best way for your estate plan to actually work with a cottage or lake house in it.

If you have a cottage or lake house in your family, and you want to make sure that it transfers to the next generation successfully, give us a call today to schedule a strategy session with one of our attorneys to make sure that the plan you put in place actually works.

If you live in Michigan or just have real estate here, you are likely subject to Michigan real estate transfer taxes and are potentially subject to “uncapping” as the result of Proposal A and subsequent legislation.  Laws around real estate tax are complex, and it can be difficult to keep up.  Read on to learn the basics of Michigan real estate taxes as of this year (it changes pretty regularly).

Annual increases to the taxable value of a property are “capped” at 5% or the rate of inflation, whichever is less.  The cap on the taxable value of the property is removed or uncapped when a transfer of property ownership occurs, and the state equalized value (SEV) of the property becomes the new taxable value.

Michigan law generally allows exceptions to the uncapping rules for certain residential property transfers. These exceptions allow property owners to make certain property transfers to certain family members without uncapping the property taxes.

Accidentally triggering a property’s “uncapping” by failing to understand Michigan’s property tax rules could be a costly planning mistake for families with high-value properties or properties that have significantly increased in value, such as lakefront and other vacation properties that you plan to keep in the family. Attorney Shawn Eyestone speaks briefly about the general concerns of keeping these properties in the family, including the need to keep the property taxes as low as possible.

Real estate tax is complicated. Questions? We can answer them. Contact us today!

Click here to view

Click here to view