- Things to be aware of and questions to ask.
Steps to Improve:
- Is the company adequately capitalized, undercapitalized or overcapitalized?
- Is net income stable or growing? How does it compare to industry norms?
- Raise adequate capital to fund rapid growth or shrinkage before you need it.
- Tap outside investors for capital.
- Have an ownership continuity plan.
- Protect the company from the drain estate taxes could cause.