Episode Details

Todd M. Villarrubia is a 30-year tax attorney, estate planning expert, and exit planning advisor, and we spoke about how high-income entrepreneurs can reduce taxes, protect assets, and plan wealth before a sale, lawsuit, divorce, or death forces the issue. His focus is simple: entrepreneurs spend years building wealth, but as they grow, “the protection of that wealth becomes even more important.”

Todd explains why old estate plans often break as wealth increases, why some entrepreneurs should evaluate C Corp structures before a sale, and how Section 1202 can potentially exclude up to $15 million of gain on qualified small business stock. He also describes how sophisticated trust structures, Delaware dynasty trusts, domestic asset protection trusts, cash balance plans, 412(e)(3) plans, solar strategies, film tax credits, and cost segregation can become part of a coordinated plan when the facts support them.

The urgency is personal for Todd. After losing his father young, he is clear that “the moment to plan is today,” not after the exit is signed or the family is already exposed. For listeners, this episode offers a practical reminder to review estate plans every three to five years, involve both tax and estate expertise, and start planning at least a year before a possible company sale.

Key takeaways

• Review estate plans every three to five years.
• Evaluate C Corp status before a future sale.
• Section 1202 may exclude up to $15M.
• Use trusts to protect family wealth from creditors.
• Plan at least one year before selling.
• Explore cash balance or 412(e)(3) plans.