How to Protect Your Family Business After Your Death or Incapacity
By Hampton & Hampton LLP – Estate Planning Attorneys Serving Atlanta, Alpharetta, Roswell, Sandy Springs, Milton, and Johns Creek
Your company is more than a source of income, it’s the result of years of work, risk, and dedication. But in Georgia, if you die or become incapacitated without a legally sound succession and estate plan, that legacy can unravel quickly.
We help business owners in Atlanta, Alpharetta, Roswell, Sandy Springs, Johns Creek, and Milton create integrated legal and operational plans that keep their companies running and protect their families, employees, and clients when the unexpected happens.
Why Georgia Business Owners Need a Coordinated Plan
In Georgia, if you are the only authorized signer on business accounts and you pass away without a plan:
- Your ownership interest becomes part of your estate and enters probate—often lasting months
- No one may have immediate legal authority to run payroll, sign contracts, or access bank accounts
- Key vendors and clients may cancel contracts due to uncertainty
- Family members may disagree on ownership or management
By aligning your will, trust, powers of attorney, and succession plan, you ensure there is no leadership gap and that operational control transfers seamlessly.
What a Business Succession Plan Covers
A business succession plan is a legal and operational guide for what happens if you retire, become incapacitated, or pass away. A strong plan will:
- Name your emergency and permanent successors
- Define exactly what happens in the first 24 hours, first week, and first month after you are gone
- List key advisors, suppliers, and customers to be contacted immediately
- Provide secure access to financial accounts, payroll, contracts, and communication systems
- Prevent conflicts between your personal estate plan and business governance documents
The First 30 Days After a Business Owner’s Death in Georgia
Day 1–3: The First 24 Hours
- Emergency successor is contacted and assumes authority under your operating agreement or trust.
- Bank and merchant accounts are accessed using pre-authorized credentials.
- Employees, clients, and vendors are notified through prepared communications.
- Key legal and business documents are located and reviewed.
Days 4–7: The First Week
- Payroll is processed on time to avoid labor law issues.
- Client projects and deadlines are reassigned.
- Inventory, vehicles, and real estate are secured.
- Successor meets with CPA, attorney, and financial advisor to assess cash flow.
Days 8–30: The First Month
- Short-term continuity plan is implemented.
- Ownership is transferred per your trust or buy-sell agreement.
- Management responsibilities are transitioned to long-term leadership.
Public announcements or rebranding occur if required.
Signs You Need a Plan Now
You should not wait to plan if:
- You are the only authorized signer on business accounts
- You have recently faced a serious illness or injury
- Your business has grown in size or complexity
- You are the sole decision-maker for contracts or clients
- You travel frequently or work in high-risk environments
- You have unresolved disputes with a partner or spouse
Legal Tools That Make a Georgia Succession Plan Work
Revocable Living Trust – Transfers ownership outside of probate and ensures the successor trustee can act immediately.
Last Will and Testament – Acts as a safety net for any interests not covered by your trust or business agreements.
Durable Financial Power of Attorney – Authorizes an agent to manage payroll, accounts, and contracts during incapacity.
Buy-Sell Agreement – For multi-owner companies, defines valuation and sale terms for ownership shares.
Operating Agreement – Establishes governance rules for LLCs and outlines how ownership changes occur.
Emergency Access & Continuity Plan – Securely stores logins, bank access, insurance policies, and vendor contracts so a successor can operate the business immediately.
What Most Plans Miss — and Why We Close the Gaps
Many Georgia business owners believe having a will or trust is enough. Common oversights include:
- Not updating the Operating Agreement after adding partners
- Failing to list digital asset and software access in the continuity plan
- Ignoring Georgia-specific tax and licensing steps for ownership transfer
- Overlooking client communication protocols to protect reputation during a transition
At Hampton & Hampton LLP, we identify these gaps and create a coordinated strategy, so the plan works in practice, not just on paper.
FAQs – Business Succession Planning in Georgia
Q: What happens to my business if I die without a succession plan?
A: Your ownership interest becomes part of your estate and enters probate. In Georgia, probate can take months, and during that time no one may have authority to run payroll, access accounts, or fulfill contracts. This gap can lead to service disruptions and permanent loss of clients.
Q: Can my trust and succession plan name different successors?
A: It is possible but strongly discouraged. Conflicting successors can cause legal disputes and delay operations. Your estate plan and succession plan should match.
Q: How quickly should I create a succession plan?
A: Immediately if you are the sole decision-maker or have experienced recent health changes. In many Georgia cases, waiting has led to avoidable closures during probate.
Serving Metro Atlanta and North Fulton: Alpharetta, Johns Creek, Roswell, Milton, Sandy Springs, and surrounding areas
Call: 470-567-1529
Schedule Your Consultation: hamptonandhamptonlaw.com