WHO WE SERVE
Our primary responsibility is to you, our Client. We are not part of a larger firm and our business model doesn’t rely on “selling products,” it’s based on providing sound advice and a high level of client service. Simply put, when you succeed, we succeed.
Multiple generations of a successful family began to question their overall investment strategy and the lack of transparency and fees within the accounts primarily held at a large bank-affiliated institution. The family had built the majority of its wealth through starting, operating, and successfully exiting one business, and was in the initial stages of exploring the sale of a second business. As entrepreneurs, the family was looking for a different approach to their finances that would be more progressive and collaborative.
Canal Capital’s planning process uncovered several interesting opportunities. Through a series of meetings, and by working with the family’s accountant, we were able to develop a comprehensive family balance sheet. This led to consolidating accounts and opportunities to: (1) Utilize exemptions to efficiently make gifts across generations, (2) reduce estate tax exposure and (3) transfer future appreciation to the estates of the younger generations.
Investment opportunities were clearly presented to each individual family member and their input solicited, instead of selecting the same investments across all accounts for all family members. Because of the sophisticated estate planning that accompanied the sale of the first business, much of the family’s wealth was held in trust and sizeable insurance cash values. Trusts were reviewed and insurance policies were analyzed to create significant cash flow savings to the family each year.
Because of our business consulting and accounting backgrounds, Canal Capital was able to work with our clients to develop financial statements and marketing materials for the sale of the second business resulting in a sale at the desired price. A significant expense to the family was avoided. Overall, engaging Canal Capital Management resulted in much more transparency, collaboration, and cohesive decision making for all financial matters relating to the family.