The birth of a child often brings a shift in financial priorities. It’s an ideal time to explore types of accounts that can help both new and seasoned parents work toward their savings goals for their children.
Many business owners invest deeply in their businesses, and when the time comes to transition into retirement, to start something new, or hand over the reins, the process can be complex. Consider working with a Certified Exit Planning Advisor (CEPA), who specializes in helping business owners plan and execute successful exits.
This certification, offered by the Exit Planning Institute (EPI), enhances the advisor’s ability to engage with business owners, focusing on building company value, aligning personal goals, and considering all aspects—financial, emotional, and operational—of the transition process.
In this Q&A, we’ll provide an overview of the certification and how it can ultimately help benefit our clients.
Q. How can the skills you develop help clients navigate a successful business transition more effectively?
A. I help owners plan for their exit today. That may sound a bit strange at first, but after obtaining this designation, I’ve come to believe that a big reason why business owners fail in transitioning their business is because that they don’t plan for their exit soon enough. The one thing we can never get back is time. Proper planning today can help increase the value of your business at the time of exit, as well as expand the exit options available to you.
Q. What encouraged you to pursue the CEPA® designation?
A. I’ve always admired business owners. I believe it takes a lot of courage and determination to follow a dream and build something from the ground up, or in some cases, continue a business as a second- or third-generation owner. It’s an amazing accomplishment. I began researching business transitions and exit planning, and after reviewing the statistics, I was floored by how often owners are unsuccessful at exiting their business on attractive terms to them and their family. Although I am not a business owner in perhaps the traditional sense of the term, we are an employee-owned company at Fragasso Financial Advisors; therefore I have exposure to the privileges and challenges of being an owner.
Q. How is this designation obtained?
A. It is obtained through an organization called the Exit Planning Institute, or EPI. This program consists of coursework through self-study and online classes. After the coursework is complete, there is an exam that you need to pass to obtain the credentials.
Q. What are the yearly education requirements to maintain your credentials?
A. There is a continuing education requirement of 40 hours of exit planning professional development, which needs to be completed every three years. Along with continuing education, there are professional and ethical standards that must be adhered to as well.
Contact Bryan Reft at fragassoadvisors.com/team/bryan-reft/ or 412-227-3208 if you have a question about your business exiting strategy.
Investment advice offered by investment advisor representatives through Fragasso Financial Advisors, a registered investment advisor.