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You’ve spent years building your business from a corner in your garage into a multi?million?dollar organization. You’ve worn every hat, solved problems no one else could see, and poured your energy, time, and creativity into something that became much bigger than you ever imagined.

And now, you’ve sold it.

Even if you knew this day was coming, actually arriving here can feel overwhelming. The questions come quickly: What does life look like now? What should you do with the proceeds? How do you turn this once?in?a?lifetime event into long?term security—for you, your family, and the causes you care about?

A good place to start is understanding how you’ll receive the sale proceeds and what your options are from there.

How Are You Getting Paid? Lump Sum vs. Payments Over Time

Most business sales are structured in one of two ways:

1. A lump sum – You receive the majority (or all) of the proceeds at once.
2. Payments over time – You receive installments over a period of years (for example, through an installment sale, an earn?out, or seller financing).

Each path comes with its own opportunities and risks.

Receiving a Lump Sum

Receiving a large lump sum can be both exhilarating and terrifying.

You might find yourself asking:

• Do you spend it?
• Do you invest it?
• Do you buy real estate?
• Do you give some away?
• Do you put it all under your mattress?

That last one probably isn’t the right answer—but the feeling behind it is real. After years of having your wealth tied up in your business, suddenly seeing it in cash (or liquid investments) can be disorienting.

A thoughtful plan can turn that anxiety into confidence.

1. Build (or Rebuild) Your Safety Net

Before anything else, make sure you have:

• Adequate emergency reserves (typically 6–12 months of living expenses, sometimes more depending on your lifestyle and obligations).
• Short-term cash set aside for upcoming known expenses (taxes, major purchases, transitions such as relocation or new ventures).

This is the financial equivalent of not putting everything under the mattress—but keeping enough “within arm’s reach” so you can sleep at night.

2. Invest for Long-Term Stability

For most former business owners, the primary goal is to turn the sale proceeds into reliable, long-term financial independence.

That might include a diversified mix of:

• Investment portfolios designed around your risk tolerance, income needs, and time horizon.
• Tax-efficient strategies (such as using appropriate account types and managing when and how gains are realized).
• Income-producing assets (dividends, interest, or other steady cash-flow sources).

Here, the goal is to replace the role your business played in your financial life with a strategy that is more diversified and less dependent on a single enterprise.

3. Consider Real Estate—Carefully

Buying real estate can be appealing after a sale, whether for:

• A primary residence upgrade
• A second home
• Rental or investment properties
• Commercial opportunities

Real estate can be a useful part of your strategy, but it should fit within an overall plan rather than stand alone. It’s important to:

• Understand how much of your net worth you’re comfortable tying up in illiquid assets.
• Consider ongoing costs (maintenance, taxes, insurance, management).
• Evaluate how real estate fits with your income needs and risk tolerance.

4. Align Your Wealth with Your Values

After a sale, many owners start thinking more intentionally about:

• Family support – helping children or grandchildren in thoughtful, structured ways.
• Philanthropy – supporting charities, community organizations, or causes that matter to you.
• Legacy planning – making sure what you’ve built continues to benefit others long after you’re gone.

Trusts, charitable strategies, and coordinated estate planning can help you do this in a tax-aware, organized way.

Receiving Payments Over Time

If your sale is structured with payments over time, your questions may be a bit different:

• How secure are those payments?
• What happens if the buyer runs into trouble?
• How do I coordinate this income with other investments and retirement plans?
• What does this mean for my tax situation year?by?year?

In these scenarios, planning often focuses on:

• Evaluating the reliability of the payment stream (creditworthiness of the buyer, collateral, and legal protections).
• Coordinating the timing of payments with your lifestyle needs.
• Integrating payments with other assets so your overall plan doesn’t rely too heavily on a single source again.
• Tax planning to manage how and when income is recognized, where appropriate under current law.

You may still decide to invest part of each payment, allocate part toward real estate or other goals, and keep some in reserve—essentially building your long-term plan piece by piece, as payments arrive.

Maybe the Right Answer Is “A Bit of Everything”

Should you spend some? Probably—this is a meaningful life milestone, and it’s reasonable to celebrate.

Should you invest? Almost certainly—your future self will thank you.

Should you buy real estate? It may make sense—if it fits into a broader, well-balanced strategy.

Should you put it all under your mattress? That one is best left as a joke.

For most former business owners, the “right” answer is not all-or-nothing in any one direction. It’s a thoughtful mix that:

• Provides security for your everyday life
• Creates growth and income for the long term
• Reflects your values, relationships, and goals
• Manages risk and taxes in a deliberate way

Turning a Transaction into a Plan

Selling your business is a transaction. What you do next is a plan.

This is where partnering with an experienced team—wealth advisors, tax professionals, and trust and estate specialists—can make a meaningful difference. They can help you:

• Clarify what you want this next chapter of life to look like
• Understand your options for lump sums, installment payments, or both
• Design an investment and income strategy that matches your risk comfort and goals
• Build structures for family support and charitable giving
• Coordinate the legal and tax implications of your decisions

You put years into building your business. With the right guidance, you can put the same care into building what comes next—so the proceeds from the sale support you, your family, and your legacy for years to come.