Financial planning for entrepreneurs

Your business is probably your greatest asset. Is it also part of your financial planning?

Salary, dividends, pension funds, and hidden reserves determine how much of your life’s work ends up in your personal assets. We plan your business and personal assets as a single system.

Typical reasons for planning

Profits are risingThe company has plenty of cash on handLarge dividendNew pension plan or 1eAn investor comes on boardSuccession in 5–10 yearsSale of the companyRetirement is becoming a reality

Most levers require a lead time of five to ten years.

What we bring together for business owners.

Salary or dividend

This mix determines social security contributions, income and profit taxes, your insured wages, and the capital gains tax on the shares.

Which mix is right for the next ten years of your life?

Pension fund, executive plan, and 1e

Employer contributions are operating expenses. A better plan creates purchasing power and transfers corporate profits to personal assets without dividend tax.

Is your retirement planning legally sound and fully utilized?

Hidden reserves

Every hidden reserve is a tax credit. If it is released in a controlled manner and redirected through the 2nd pillar, you’ll end up with significantly more.

Do you know how much your hidden reserves are worth?

Assets outside your company

Funds not required for operations increase the purchase price, property tax, and the risk of an indirect partial liquidation. If distributed in a timely manner, these funds become private assets with their own investment strategy, and, if desired, with Caveo Wealth.

How much of your company actually consists of personal assets?

Retirement that does not depend on the sale

We calculate how much net worth you'll need outside the company so that your retirement isn't dependent on the sale price.

What happens if sales are lower or come in later than expected?

Protecting your family and business

If the owner is unavailable, there is often no plan in place for both situations at the same time. We assess the gap and the order of the steps to be taken.

Who leads, who pays, who inherits?

The financial plan for businesses starts at CHF 5'500. How much it costs and how we make money. We handle business succession and sales as a separate engagement, based on your financial plan.

After a sale or a large dividend payment

Same return, different result: It all comes down to the order.

As long as you're living off your assets, it's not just the average return that matters, but also when the bad years occur. Experts call this the return sequence risk.

In this example, two owners start with CHF 3 million and receive CHF 150'000 per year. Over 20 years, both achieve the same annual returns—5.6% annualized—but in reverse order. In the end, one is left with CHF 4.9 million, and the other with CHF 0.3 million.

Our answer is this step-by-step plan: Your assets are allocated according to time horizon. Liquidity and your income for the next few years are secure. Only the portion you won’t need for a long time is exposed to equity risk, with a broadly diversified, low-cost core and targeted additions.

Bad years firstGood years first
036905101520CHF mYears after the saleGood years firstCHF 4.9 Mio.Bad years firstCHF 0.3 Mio.Year 0 Bad years first: CHF 3'000'000 Good years first: CHF 3'000'000Year 1 Bad years first: CHF 2'223'000 Good years first: CHF 3'334'500Year 2 Bad years first: CHF 1'782'780 Good years first: CHF 3'662'175Year 3 Bad years first: CHF 1'534'813 Good years first: CHF 3'968'758Year 4 Bad years first: CHF 1'440'206 Good years first: CHF 4'200'634Year 5 Bad years first: CHF 1'406'324 Good years first: CHF 4'374'684Year 6 Bad years first: CHF 1'407'083 Good years first: CHF 4'731'646Year 7 Bad years first: CHF 1'345'079 Good years first: CHF 4'902'362Year 8 Bad years first: CHF 1'314'587 Good years first: CHF 5'180'074Year 9 Bad years first: CHF 1'257'754 Good years first: CHF 5'281'578Year 10 Bad years first: CHF 1'174'219 Good years first: CHF 5'696'051Year 11 Bad years first: CHF 1'136'883 Good years first: CHF 5'878'814Year 12 Bad years first: CHF 1'036'227 Good years first: CHF 6'187'120Year 13 Bad years first: CHF 965'988 Good years first: CHF 6'640'832Year 14 Bad years first: CHF 873'107 Good years first: CHF 6'945'190Year 15 Bad years first: CHF 809'880 Good years first: CHF 7'610'613Year 16 Bad years first: CHF 712'670 Good years first: CHF 8'132'068Year 17 Bad years first: CHF 618'937 Good years first: CHF 8'301'350Year 18 Bad years first: CHF 529'899 Good years first: CHF 7'662'269Year 19 Bad years first: CHF 436'884 Good years first: CHF 6'460'552Year 20 Bad years first: CHF 335'654 Good years first: CHF 4'922'230
Values as a table
YearBad years firstGood years first
0CHF 3'000'000CHF 3'000'000
5CHF 1'406'324CHF 4'374'684
10CHF 1'174'219CHF 5'696'051
15CHF 809'880CHF 7'610'613
20CHF 335'654CHF 4'922'230
Simplified calculation example based on assumed annual returns ranging from −22% to +17%, calculated as of the beginning of each year, excluding costs and taxes. This is not a forecast.
From real-life experience, anonymized

One owner, four pension plans, two institutions.

All of the plans provided for higher wages than were actually paid. The risk: The tax authorities may not recognize the pension contributions and may treat them as a hidden distribution of profits.

The solution was a legally compliant management plan and a 1e plan for the portion of salary exceeding CHF 136'080, consolidated into a single plan. This provided for greater retirement savings, higher risk benefits for key personnel, and a structure that meets the requirements of collectivity, equal treatment, and systematic planning.

Employers with multiple pension funds and salaries covered by two pension plans must have the adequacy of their plans confirmed by the end of 2026 (Art. 1a BVV 2).

For your business, too

Your company's retirement plans and insurance

Your pension fund is your company's retirement plan. Upon request, we can review and manage your company's occupational retirement plan, as well as its employee and property insurance policies, tailoring them to your personal financial plan.

One conversation—and then you'll know where you stand.

  • 45 minutes, via video or in person in Schlieren
  • With a financial planner, not a salesperson
  • Free and with no obligation
Schedule a meeting
Financial planning for business owners · Caveo