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Do You Have An Asset
Protection Strategy?

Many small business operators overlook the importance of developing an asset protection plan. They spend more time worrying about tax savings or planning a vacation then they do about someone taking their assets. It won’t matter how much you saved in taxes and you will have plenty of time for a vacation if you don’t have any personal assets left to protect.


Are You At Risk - Why Asset Protection?

If you deal with the public, if you sell a product, if you are a licensed professional, own a business, have employees, sign contracts, are the director of a company, are a real estate agent, landlord, day care provider, consultant, contractor or commercial printer then you are in a high risk profession which makes you a target for lawsuits.

As a small business owner you have a one in four chance of being sued in the next 12 months. Win or lose, right or wrong most small businesses are forced to settle before the lawsuit goes to trial. Being named in a lawsuit means time away from your business, tremendous stress on you and your family. Even when they win many small businesses never recover from the additional expense. It really comes down to the simple question of "CAN YOU AFFORD TO START OVER?"

Establishing an asset protection plan is no longer an option but a necessity. In fact, an asset protection plan will not only protect you in the event that you are sued, it will play a major role in preventing you from being sued in the first place. An effective protection plan for many people may be as simple as selecting the appropriate business structure.

Most lawyers (America has 70% of the world’s lawyers and 95% of the world’s lawsuits) work on a contingency basis. Before starting an action they want to make sure the person they are suing is going to have enough assets to cover their fees. If the lawyer does not believe he can collect the judgment - which usually is the source of their fee - he will not take the case.

Sound asset protection planning reduces or eliminates the ability of a creditor to collect a judgment, which makes you an unattractive target for a litigator.


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