In today's episode of the "The Runway Decade Podcast," hosts Bill Bush and Pete Bush, advisors at Horizon Financial Group are chatting with Paul Hood. He is going to talk about trust, estates, and wills. He is also going to talk about business valuations for those owners.
· 04.31: Paul is a Louisiana guy, despite being in Ohio right now he grew up in Alexandria, LA. He talks about the early days and his experience of growing up in Alexandria, right in the middle of the state.
· 05.33: The thing that Paul noticed as a kid listening to the rainy day show on KALB, the mighty 580AM every morning was that they developed this growing up and antipathy toward New Orleans.
· 07.41: Paul is in the process of endowing $1000 a year student writing award at his alma mater high school, Holy Savior Menard Central High School in Alexandria and the scholarship will be awarded on Friday, April 28th at a school assembly and he will give a speech to the students.
· 09.29: Paul doesn't view what he has literally done since Hurricane Katrina as work. He has written nine books, published hundreds of articles. He has done 96-90-minute webinars on estate and tax and charitable planning. He doesn't view all this as work which is why he doesn't ever see himself stopping.
· 12.05: Paul shares how things changed for him when Katrina made its third and final landfall on August 29th, 2005.
· 14.04: Paul discusses the things that are important for a buy-sell agreement.
· 18.25: It's not a triggering event that causes the problem. It's the procedure that is drafted and one of those common errors Paul sees is the appraiser has to produce an appraisal in 30 days.
· 20.14: The appraiser can't appraise in 30 days and no appraiser can, says Paul.
· 22.40: One thing that the TV show Shark Tank has taught Bill is that a business owner at least a lot of business owners come up with this idea of valuation in their head that in the most cases seems to be based on not a lot and it could be very inflated.
· 24.36: One of Paul's strongest bits of advice for people in business is your business should be ready for sale 24/7, 365.
· 25.06: What happens to a lot of people is they skimp on their accounting and then they sign up a non-disclosure agreement and they enter due diligence and people who can't figure out, their financials, they are not audited, they are not reviewed, they're not consistent, they are not complete.
· 28.02: Paul's earliest LSU memory was probably a trip to Tiger Stadium in 1973 when the Tigers weren't very good.
Three Key Points
1. Paul talks about his mindset and how he felt when he turned 50.
2. Paul talks about two of his books, both are based on planning your future series, the last will and testament for your business, "Buy- Sell Agreements" and then “It's Yours," Mine and Ours" which Pete loves because it's on the blended family.
3. Paul talks about his earliest LSU memory.
· - "I took a job in New Orleans, and it was a great job because my four years there, from 88 to 92, that's where I learned a lot of what of what I know, I was taught by four excellent estate planning and tax lawyers." - Paul Hood
· - "Retirement is not really something that I even think about even at 62, almost 63 in June." - Paul Hood
· -"If you work for one of them, you got temporarily relocated to Baton Rouge or Lafayette, Lake Charles or even Houston, TX. But those of us who work for individuals, we were out." - Paul Hood
· -"I am a one-page guy because I believe if you can condense something down to a page, you understand correct, and that's a big deal." - Paul Hood
· - "If your client gets the appraiser and answers all their information document requests in 30 days give yourself a blue star." - Paul Hood
· -"When I wrote my business valuation book, I did something that I don't know that anybody else had ever done. I have read every single income tax case involving valuation back to the beginning of the income tax in 1913." - Paul Hood
· -"I don't think that the true grasp of the greatness of Skip Bertman has been understood yet." - Paul Hood