Asking for an Early Inheritance

Entrepreneurs strapped forcash may want to consider asking their parents for an early inheritance.  Figuring the money would be coming to himeventually, Scott Harris decided to ask his mother for an early bequestin order to get DeliverLean going, a business delivering healthy meals.

Approaching the parent maybe difficult; asking for a large sum of money is always a complicatedconversation, but asking for an inheritance raises further financial hasslesand emotional weight.  Parents may findit rude to ask for a final legacy before they have even kicked the bucket whilechildren may feel burdened by the bequest. However, making an early gift can give parents the chance to share intheir child’s success.  Mr. Harris’smother says, “Why wait until I’m gone and not be able to get any pride in hisaccomplishments?”

Some parents may even decideto co-invest in their heir’s venture in order to closely mentor the nextgeneration or earn some supplementary income.

See NeilParmar, Cash-Strapped Entrepreneurs SeekEarly Inheritances, The Wall Street Journal, Aug. 19, 2013.

Special thanks toJim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringingthis article to my attention.