Outline of Business Transition Planning for High Net Worth Business Owners (> $ 10 MM in Enterprise Value) Presented by: Sean M. Foran, B.A., LL.B. Managing Director, Business Transition Planning CIBC Private Wealth Management. CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning 9/13/2018

Source: Taguiri and Davis (1996) Outline of Business Transition Planning for High Net Worth Business (« HNW ») Owners Business Transition Planning (« BTP ») strategy for the HNW Business owner (over $10 MM in equity) is to offer them a structured process for a more rational approach to their succession planning. The internal opportunity is to build deeper relationships with business owners with a view to uncovering borrowing, investment management and insurance planning opportunities. Target client age 55 + with business sales greater than $ 10MM annually. Are we dealing with a family business … Or Simply a Private Company in Transition ? Business Source: Taguiri and Davis (1996) Business Shareholders CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning 9/13/2018

Outline of Business Transition Planning for High Net Worth Business Owners Parallel Planning Process with Business Owners and family members to deal with Management Transition Ownership Transition working through how, with whom, when and what transition will take place. Understand and develop the strategic potential for the business Ensure family or owners understand investment / re-investment decision for Business Continuity. Understand competitive position of business Understand SWOT Analysis Understand where to compete Understand how to compete CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning

Outline of Business Transition Planning for High Net Worth Business Owners The needs of the business will drive the criteria for successor owners and managers. Establish Training and Development plan for the successor manager. Consider Valuation of business and Value driving activities. Normalize earnings Operationalize Goodwill Strip out redundant assets Diversify supplier, customer base Consider and develop Retirement and Financial plan for the owners using Wealth Advisors. CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning

Determine Exit Strategy and Tax and Estate Planning. Outline of Business Transition Planning for High Net Worth Business Owners Determine Exit Strategy and Tax and Estate Planning. Deal with other succession issues: Selecting and installing successor Communication to Stakeholders Co-management during transition Maintaining employee loyalty during transition e.g. profit sharing Exit from the company Other pursuits Travel Philanthropy CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning

Outline of Business Transition Planning for High Net Worth Business Owners Questions Answers & "CIBC For what matters." is a TM of CIBC. CONFIDENTIAL |Sean M. Foran - Managing Director, Business Transition Planning 9/13/2018