Strange day this week at w*rk. Came in after taking an extra long weekend to learn my co-worker got severely burned on arm/hand in lab reaction accident (we are synthesis chemists) and was in the hospital. It's one of those things that everyone thinks: it could have been me. And for me, it makes me think - is it time to retire?
Here's my situation that makes me hesitate:
I invested in a start-up company 14 years ago. It has grown from 4 employees to >250 today. Currently, I own <5% of this closely held company which I learned later the day of the co-workers accident was close to being sold at the end of last year, my part would have been ~$3 million before taxes (coincidence?). Current company value (stock price set by company for selling within current investors) would get me about $1.5 million before taxes if it could be sold now. I probably could not sell more than 15% anytime soon. Founder, CEO and largest shareholder has told me his plan is to sell company by 2011, either to outside company or to employees. Company is growing (sells up over last few years 10-20%/year), just doubled it's manufacturing ability and has other plans to continue positive growth increases.
In addition to above, we currently have $300K in taxable accounts and $450K in retirement accounts. Firecalc shows >95% success using after-tax current company value coming in 2011. We could easily live in present location with current expenses plus health costs (est $20K/year) plus taxes until 2012 without tapping into retirement, if something delayed company being sold. But this leaves me short of my dream to move closer to the coast and getting a sailboat, which I could easily do if my part of company value was closer to $3 million and I had it now.
After writing this, seems obvious, but I'm still really hesitant - fear of the unknown and desire of fulfilling a dream. Any thoughts?
Thanks
Here's my situation that makes me hesitate:
I invested in a start-up company 14 years ago. It has grown from 4 employees to >250 today. Currently, I own <5% of this closely held company which I learned later the day of the co-workers accident was close to being sold at the end of last year, my part would have been ~$3 million before taxes (coincidence?). Current company value (stock price set by company for selling within current investors) would get me about $1.5 million before taxes if it could be sold now. I probably could not sell more than 15% anytime soon. Founder, CEO and largest shareholder has told me his plan is to sell company by 2011, either to outside company or to employees. Company is growing (sells up over last few years 10-20%/year), just doubled it's manufacturing ability and has other plans to continue positive growth increases.
In addition to above, we currently have $300K in taxable accounts and $450K in retirement accounts. Firecalc shows >95% success using after-tax current company value coming in 2011. We could easily live in present location with current expenses plus health costs (est $20K/year) plus taxes until 2012 without tapping into retirement, if something delayed company being sold. But this leaves me short of my dream to move closer to the coast and getting a sailboat, which I could easily do if my part of company value was closer to $3 million and I had it now.
After writing this, seems obvious, but I'm still really hesitant - fear of the unknown and desire of fulfilling a dream. Any thoughts?
Thanks
