Business Solutions

Business Needs Assessment (digital approach tool) Business Owner Retirement Business Valuation/Buy-Sell Review Family Business Planning Industry Marketing - Agriculture Industry Marketing – Healthcare Prioritizing Business Needs Strategic Alliances

Business Protection

ESOP Repurchase Key Person

Business Succession

Buy-Sell Strategies Transfer Strategies

Income Protection

Key Employee Retention & Retirement

Bonus Bonus - LLC Member Bonus - S Owner Bonus (Tax Exempt) Death Benefit Only Death Benefit Only (Tax Exempt) Deferred Comp - 457(b) and 457(f) Deferred Comp - Defined Benefit Deferred Comp - Defined Contribution Deferred Comp - Incentive Bonus Deferred Comp - Select Reward Deferred Comp - Select Reward (Tax Exempt) Deferred Comp - SERP Endorsement Split Dollar Loan Split Dollar

Legacy & Estate Planning

Charitable Giving Gifting Strategies Inheritance Equalization Private Split Dollar Special Needs Trust Solutions Estate Tax Reports

Buy-Sell Strategies

Buy-sell strategies for business succession are designed to help business owners plan for future contingency events that may impact their ability to meet their long-term financial goals. A funded buy-sell agreement is an essential planning tool to help enhance the stability and financial value of a closely held business.

Get a Business Continuation proposal - Request for Proposal (DOC) (BB8720)

Benefits of a properly funded buy-sell agreement from Principal:

Provide departing owners a market and price for an asset that might otherwise be hard to sell.
Permit remaining owners to prevent an unqualified individual from acquiring an interest in the business.
Minimize business disruptions resulting from disagreements among owners at various triggering events.
Provide assurances to employees, customers, suppliers and creditors that the business will remain strong through owner(s) transitions.
Help owners use their business as a source of retirement income. View infographic (PDF) (BB11378).

Get started by reviewing Insurance-Related Best Practices (PDF) (BB11258). Then, learn about the three most common buy-sell options using Buy-Sell Quick Reference Guide (PDF) (BB9090) – which outlines the three more common buy-sell options: Cross Purchase, Entity Purchase and Wait and See.

View Solutions below for more details about each strategy to choose the one that will be best for your client.

Solutions

Cross Purchase Buy-Sell
- How it works (one-page overview) (BB9594)
- Sample Proposal (BB10879)
- Request for Proposal (BB8720)
- Sample Agreements:
  - Corporate Cross-Purchase (BB10984)
  - Partnership Cross-Purchase Agreement (BB10988)
Entity Purchase Buy-Sell
- How it works (one-page overview) – BB9599
- Sample Proposal (BB10880)
- Request for Proposal (BB8720)
- Sample Agreements:
  - LLC taxed as Partnership Entity Purchase Agreement (BB10989)
  - C corporation Entity Purchase Agreement (BB10992)
  - S corporation Entity Purchase (BB12417)
  - LLC taxed as S corp Entity Purchase (BB12418)
- Court issues surprise ruling on entity purchase arrangement (BB12654)
Entity Purchase with Short-Year Election
- How it works (one-page overview) (BB11409)
Multi-Owner Buy-Sell
- How it works (one-page overview) – BB9705
- Sample Proposal (BB12292)
- Request for Proposal (BB12326)
- Sample Financial Model (BB12353)
Select Buy-Out Plan^SM
- How it works (one-page overview) – BB10279
- Request for Proposal (BB8720)
Business Continuation General Partnership/LLC
- How it works (one-page overview) – BB9608
- Understanding BCGP (BB12642)
- Sample Agreement (BB10994)
One owner, (100%-ownership) Transition Planning Options
- Sole Owner Transition Plan
  - How it works (one-page overview) – BB11349
  - Request for Proposal (BB8720)
- No Sell Buy-Sell
  - How it works (one-page overview) – BB10431
  - Request for Proposal (BB8720)
- One Way Buy-Sell
  - How it works (one-page overview) – BB10411
  - Request for Proposal (BB8720)
  - Sample Agreement (BB10990)

Consumer Materials

Key materials listed in the Solutions section above and below. Refer to the Advanced Marketing Sales Library for more information from Pentera Group, Inc. on advanced marketing topics.

Buy-Sell Agreement & Retirement Infographic (BB11378)
Visually demonstrates the importance of an effective buy-sell agreement when a business owner intends to use the business for retirement.
View (PDF) • Order

Buy-Sell Agreement Funding Infographic (BB11420)
Outlines buy-sell agreement funding sources and consequences for not funding. Also includes stats about common funding errors.
View (PDF) • Order

Buy-Sell Agreement & Business Valuation Infographic (BB11581)
Helps demonstrate the importance of determining an accurate company value for an effective buy-sell agreement.
View (PDF) • Order

Buy-Sell Agreements Quick Reference Guide (BB9090)
Helps outline three basic buy-sell options - cross purchase, entity purchase and wait and see - as well as things to consider.
View (PDF) • Order

Sample Agreements
Access a variety of sample agreement templates to share with clients.
View sample agreements

Producer Materials

Key materials listed below.

Business Submission Checklist (DD849R)

Form that must be used when submitting Life applications to BMA to fund business solutions.

View (PDF) • Customize (PDF)

Important Information

This content is designed for use by financial professionals. Consumers may learn more about products and services on principal.com. Insurance products issued by Principal National Life Insurance Co. (except in NY) and Principal Life Insurance Co. Plan administrative services offered by Principal Life. Principal National and Principal Life are members of the Principal Financial Group^®, Des Moines, IA 50392.

1512305-022021