Employer / Owner Programs
Line of Credit Insurance
Term life insurance is extremely inexpensive in today's market. It really makes sense to
insure key loan guarantors to allow fast liquidations on all, or a portion of, business
debt. Certain carriers allow substantial discounts on premiums if paid in advance. Through
significant discounting it may make sense to fund the premiums through business loans. We
work closely with you and your lender to design a plan that works best for you.
Capital Transfer
Concepts for Business Owners
All successful business owners want to find ways to use their business to make money, then
transfer the money out of their business on a tax advantage basis. We have such plans
available. The individual owns the asset yet the business makes the payments. The
individual has limited reportable income because of the transactions. At retirement the
individual enjoys tax-free income with some of the plans.
Key Employee Life Insurance
The most valuable asset of any company is its key employees. If a key employee dies
prematurely, frequently their contacts, network, technical skill and/or customer base dies
with them. This situation can result in tremendous financial losses. You can reduce
losses, through business owned life insurance, either permanent or term. Often key
employee life insurance is integrated with deferred compensation plans using the same
insurance instruments. We can design and set up these types of programs.
Employee Stock
Ownership Plans (ESOP)
Extracting equity from the business can be difficult for a majority shareholder of a
closely-held business. Often there are few potential buyers for the enterprise. The
employees of the firm can become the mechanism to buy-out, fully or partially, the
controlling shareholders. It is done through the establishment of an ESOP.
The ESOP uses the assets of the business to borrow money to purchase the shares of the
controlling shareholder. This is a way to transfer ownership of a business enterprise to
the employees and yet give the owner a way to create liquidity from an illiquid asset.
Often, the owner for a period of time can defer taxes on capital gains.
Charitable
Remainder Trusts Grow in Popularity as an Effective Estate Planning Tool
By establishing a Charitable Remainder Trust, the portion of your wealth that typically
goes to taxes is redirected from taxes to charitable gifts. A charitable Remainder Trust
can be an effective tax saving tool when selling an appreciated asset such as real estate,
stock or your business.
The tax benefits can involve income and estate taxes. Potential benefits include, the
avoidance of capital gains on the sale of property, a current income tax deduction, an
increase in current income, the establishment of a charitable legacy and an increase in
the value of assets transferred to heirs.
The purchase of life insurance at the time assets are transferred to a Charitable
Remainder Trust is often advisable. We can help in determining whether or not this
approach makes sense for you and serve as trustee through Bank of Texas, Trust Division.
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Financial Position Update |
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>> For more information on our stable financial position, please click
here.
To find out more information about BOK Financial, our parent company, please click here. |
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