Selling a Holding Company - Canada

Selling a business over the course of a plan is an option we should be adding at some point in the foreseeable future. 

Currently, apart from the owner’s death, the only way to liquidate a company is to schedule a distribution of the entire value of the business as a dividend payment to its shareholders. 


Open up the corporate section from the (+) button in the bottom right.




Select "company distribution". 

The distribution source should be the holding company. 

Under distribution type select "dividend". 

Schedule the amount to be the estimated value of the company at the time of the sale. 



From the timing section schedule when you would like the distribution to be made and click "done". 



You will notice a spike on the cash flow chart in the year you have scheduled the dividend distribution. The distribution will be treated as a windfall in the client's plan. You can then sweep these funds into a preferred account, more on how to do this is linked below. 



How to set a windfall to sweep into an investment account.