Liquidity Event Planning in Portland, Oregon

We provide liquidity event planning and management services in Portland, OR, and surrounding areas. Our personalized advice on liquidity event risk planning will help you attract better return opportunities.
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Planning for a Successful Liquidity Event

Building a company from scratch to a successful enterprise comes with an extraordinary sense of accomplishment and joy -– a joy only rivaled by the possibility of selling the business.

Most entrepreneurs spend years of commitment and hard work growing a business in order to have an exit ramp and justify the years of dedication. Therefore, an entrepreneur’s most crucial choice is planning and successfully executing a liquidity event.

What is liquidity event planning?

A liquidity event is a process that shows a company’s shareholders the value of their investment, like mergers, acquisitions, and initial public offerings.

Liquidity event planning is the planned activities and decisions employed to make the transition and life after the sale seamless, and this is where advisors can help business owners.

At Interactive Wealth Advisors, our professional advisors view this change as a unique opportunity to engage with their clients’ emotional, relational, and generational needs.

liquidity planning

Why People Hire Us

Retirement Planning
Our well-designed process and experience will leave nothing to chance when it comes to your successful retirement.
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Investment management
Once we’ve helped you define your goals and objectives, our investment management will be the engine that drives your plan.
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Transition planning
Whether you receive large windfall or an uninvited misfortune, we’ll help you make smart decisions and minimize the financial stress.
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Business Owner Planning
With Interactive Wealth Advisors’ help, you can simplify the process by integrating your business and personal planning — in an attempt to find synergies that may help to provide tax and retirement planning opportunities.
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Tax Planning
With Interactive Wealth Advisors’ help, you can simplify the process by integrating your business and personal planning— in an attempt to find synergies that may help to provide tax and retirement planning opportunities.
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Estate Planning
At Interactive Wealth Advisors, our estate planning services are designed to help you protect your family and assets while making sure they are used in the way you want. Whether it is creating a simple will or advanced trust, we can develop a custom estate planning solution that fits your needs and goals.
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IRA planning
Interactive Wealth Advisors is a fee-only financial planner in Portland, and our IRA retirement planning service will help you navigate the financial challenges of today’s dynamic retirement planning process.
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Social Security Planning
Social Security is a crucial part of preparing for retirement. Created in 1935, the Social Security Administration (SSA) was designed to help protect people from becoming destitute if they become disabled or too old to work. It provides benefits to retirees, disabled workers, widows, widowers, and their families.
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Asset Protection Planning
It has taken blood, sweat, and extreme work ethic to build your business or brand and accumulate wealth. Now that you are a high net-worth individual, it’s vital that you take deliberate steps to preserve this wealth. This is where asset protection planning comes in.
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Holistic financial planning
When it comes to preparing for the future, you want a team that understands your goals, dreams, and finances. That’s why we offer holistic financial planning and sudden wealth counseling services that are specifically designed to help you make the most of your money.
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Investment management for trusts
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IPO & Pre-IPO Tax and Financial Planning
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Stock option planning
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Wealth management
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Restricted Stock Units Planning Advisor
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What are liquidity event steps?

Consider these steps to ensure this sudden inflow of wealth suits your long-term goals.

Step 1: Assemble your team

Although a liquidity event will increase your independence, you will require a team of liquidity planners to ensure a smooth transition and constant growth and maintenance of your wealth from the event.

Ensure you hire an independent Oregon investment management professional in your wealth advisory team.

Step 2: Value your equity

The valuation of your equity is a crucial stage in liquidity planning. However, consider any valuation discounts on your equity ownership for estate planning purposes.

Every discounted valuation is advantageous since it will lower the sale’s practical tax obligation and reduce estate taxes.

liquidity planner

Step 3: Create your estate plan

A thoroughly created estate plan should show how much money should be allotted to philanthropy, family gifts, retained wealth, and tax payments. Consider setting up a revocable trust to protect your assets, skip probate, and create a strategy for asset distribution.

These legal entities are essential in transferring assets in a way that reduces estate taxes and preserves your fortune for future generations.

Step 4: Map out your mission

To fund the lifestyle you choose after the liquidity event, you must decide on your long-term financial objectives. After the event, your capital should be split between a core and an excess capital account.

While the core capital is the number of assets required to support your desired standard of living and financial objectives, the excess capital is the asset for philanthropic and Roth IRA conversion estate planning.

Pre-Liquidity Event Planning

Step 5: Implement your asset allocation

You will need a strategic asset allocation and customized holistic financial management for the liquid proceeds from the liquidity event. This strategic asset allocation considers the capital market expectations and balances them with your risk tolerance, return objectives, investment goals, and limitations.

How Can We Help?

Interactive Wealth Advisors is a Portland, Oregon-based fee-only business that provides financial planning services. 

Whether it is a public or a private business, our team is devoted to providing you with clear, actionable advice on every step of your transition. 

We can also offer personalized suggestions on sudden wealth protection after a liquidity event.

liquidity risk management assessment and planning

Best Practices for Liquidity Event Planning

Here are some of the best practices for liquidity event planning:

1. Begin early

Like many other financial decisions, you should start early. For example, the sooner you make IRA contributions the more you’ll have for your retirement. The early bird does get the worm or best deal in this case.

2. Optimize for taxes 

Your newly acquired funds will come accompanied by an opportunity to design tax strategies to create a financially sound, tax-efficient, compliant plan.

A properly designed tax strategy will pay huge benefits over the short-, medium-, and long terms.  One that isn’t planned out can lead to lost opportunities and costly mistakes. 

3. Focus on wealth preservation

Risk and return are the opposite yet unchanging principles of creating a portfolio. So, when your money starts to work for you, put just as much thought into capital preservation as you do capital growth.

Interactive Wealth Advisors’ liquidity event advisors can assist you in creating a portfolio that meets your risk and investment goals.

4. Delegate what you can

Changing from an active business owner to an investor that delegates investment responsibility can be difficult after a liquidity event. Although it may seem passive to have someone else making the day to day decisions, making your money work harder and smarter for you is not. Take the time to enjoy the fruits of your labor and LIVE!

Our Process

A Proven System
Where do you want to be in five, ten years? What budget will you need to meet your annual goals? We’ll need to know these things and a lot more to help you navigate your new reality. We will do a deep dive to understand your future financial goals using our proven PlanCycle90 process. This process will help simplify your life and give you more time for the things you love.
Deep Planning
Complicated transactions need solutions that are customized for the individual business owner. The last thing you want is a cookie-cutter solution that leaves you with a huge tax bill and worse off than you were before. Our deep planning department will address all your concerns and some you weren’t even aware of so you are never wondering if you missed out on something. You’ll be confident that your decisions are sound.
Risk Modeling
Depositing the largest sum of money into your checking or investment account can be a scary situation. You’ve likely never seen that much money before and the last thing you want to do is take a chance and risk losing it. That’s where our risk modeling comes in to reduce the stress of investing and the fear of making a mistake. We’re students of history and have developed three risk models to gauge whether our investments should be conservative or opportunistic. Of course, we can’t predict the future, but we are able to evaluate the risk/reward of the market to know if the odds are in our favor or not.

Who is it for?

Our liquidity assessment and planning is mainly for entrepreneurs or business owners looking to take control their finances and make smarter financial decisions, including the baby boomer generation that owns over 40% of all private companies in the U.S.

Why choose us?

To help with the planning for a successful liquidity event, we offer the following perks:

Exceptional customer service

We are your one-stop shop for your liquidity event planning in Portland, Oregon. Our dedicated team is focused on giving you the finest results and offering excellent customer service.

liquidity event planning

Wide range of expertise

Our team at Interactive Wealth Advisors has extensive knowledge in personal finance topics, including investments, estate planning, life insurance, retirement plan advising, and more, to aid your seamless transition and improve your future financial situation.

Tailored advice for your retirement plan

We can offer professional guidance specifically customized to your needs, whether you need assistance managing or growing your existing portfolio or managing your retirement funds.

Financial advisor

We will help you create a cash-flow strategy that enables you to maintain your current lifestyle and makes provisions for future income. We will also create a diversified portfolio that balances your short and long-term goals.

Expert estate planning

You can keep control over how you share, safeguard, gift, and retain your assets over the long term by creating a thoughtful estate plan.

We can help you make this decision after considering your hopes for your family, your thoughts on philanthropy, and what groups and causes are important to you.

financial advisory services in Portland, OR

Frequently Asked Questions

What is a Pre-Liquidity Event?

Pre-Liquidity Event planning is a process that offers comprehensive advice and planning on current and future cash flow requirements, techniques to lower transactional effective tax rates, generational planning and education, estate implications, and charity intentions.

What is a Liquidity Event?

A liquidity event is a process employed by private equity firms where a business owner or leader sells their stake in a private company in exchange for cash. A liquidity event primarily serves to convert investment in a private company, an illiquid asset, into money.

How Do You Prepare for a Liquidity Event?

You can prepare for a liquidity event by following the following steps:
  1. Step 1: Assemble Your Team
  2. Step 2: Value Your Equity
  3. Step 3: Create Your Estate Plan
  4. Step 4: Map Out Your Mission
  5. Step 5: Implement Your Asset Allocation

What Tax Planning Strategies Should I Consider?

  • If you’re over 50 in 2023 you can add an additional $7,500 to your maximize your $22,500 pre-tax 401(k) contribution or $30,000. Your taxable income for the year will be reduced as a result.
  • Consider a donor-advised fund (DAF).
  • Consider delaying other significant capital gain sales to a different tax year to avoid paying net investment income tax and benefit from a lower marginal tax rate.
  • Invest in company stock if you can. In most cases, this will result in future tax treatment that is more favorable.

What Do You Do After a Liquidity Event?

After a liquidity event, you can contribute more to family activities, volunteering, hobbies, and fun activities. You can also seek the help of advisors to help you make the best financial decisions to align your wealth and life goals, grow and protect your wealth, and diversify your portfolio.
How can Interactive Wealth Advisors help?
Providing Portland, OR financial planning services, Interactive Wealth Advisors is a fee-only company that puts you first. We will help you create, manage, develop, and protect your assets.

Our staff is committed to offering you guidance on each stage of your transition, whether it is a public or private business.

Contact us today so we can start working towards a more successful you.
Interactive Wealth Advisors is a Registered Investment Advisory firm in the State of Oregon and Washington. The Adviser may not transact business in states where it is not appropriately registered, excluded or exempted from registration. Individualized responses to persons that involve either the effecting of transaction in securities, or the rendering of personalized investment advice for compensation, will not be made without registration or exemption.
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