Filling the Gaps in an Entrepreneur's Financial Picture
Tom didn't know what to expect when, with a $75,000 loan, he started a video-editing company out of his home five years ago. As demand took off, sales multiplied exponentially, and before he realized it, Tom found himself running a company with a staff of 50, four offices and more than $20 million in annual sales.
Unfortunately, Tom had been so single-mindedly focused on running and growing his business that he'd given little thought to the corresponding substantial increase in his personal net worth. In a sense, his sudden wealth caught him off guard. Knowing that sooner or later he needed to address tax planning, investing and estate planning issues, he sought help from Harris myCFO.
Reviewing Tom's portfolio, our investment team saw opportunities to target steady returns and reduce risk through increased diversification and allocations to alternative investments. Over the course of many meetings, Tom expressed a desire to "give back" in a meaningful way and indicated a particular interest in supporting public health initiatives in developing nations. We created a charitable trust that would enable him to fulfill his philanthropic goals while yielding significant tax benefits to his estate. And through the creation of irrevocable life insurance trusts (ILITs) for his children, along with ongoing periodic financial and fiscal education workshops for them, we helped him feel more secure about the future of his family.
Today, Tom's company continues to grow. And as always, Tom devotes long hours to itâknowing that the other aspects of his financial picture are being handled with the same level of care and professionalism.
