When financial trouble hits the closely held business, a more complicated structure often lurks below the surface. What the “family” views as a single business may actually be several entities with a long history of intercompany transactions. Conversely, one generation may have transitioned out of the business but might still be receiving compensation from the business under the control of the next generation. The problems are heightened when your contact at the client is an individual who wears various “hats,” including president, board chair, CEO and potential defendant.
