Since the start of the early 2000s, the internet has changed many aspects of our lives. Not only did it alter how we communicate with each other, but it has also drastically changed how we shop. With many brick-and-mortar stores going out of business, many shops are transitioning to the digital world. If you run a digital business, understanding the steps you should take to protect your company is critical. The following blog explores the digital assets you should be aware of and why consulting with a Medina, Ohio estate planning lawyer is critical to helping you through these complex matters.

What Is a Digital Asset?

When many people create an estate plan, they focus heavily on assets like their home and other tangible items. However, many often forget about their digital assets. These are essentially any non-tangible assets that exist online or through technology. Common digital assets include, but are not limited to, the following:

  • Audiobooks
  • Online bank accounts
  • Rewards points and loyalty program benefits
  • Cryptocurrency and NFTs
  • Manuscripts
  • Illustrations and animations
  • Emails

However, it’s also important to consider what will happen to an online business, as this is also considered a digital asset. Regardless of where you sell, whether you have your own business and website or sell through a marketplace like Amazon, many people do not take the time to consider what will happen to their digital assets.

How Can I Protect My Digital Business?

Creating a digital estate plan is critical to ensure that your online business is protected should you pass away. Generally, you can include all virtual assets in your digital estate plan, but you’ll need to create specific documents to help shield your business.

One thing you should consider establishing is a Living Trust. This document will house any assets tied to your business to shield them in the event you pass away. Not only can the Trust hold these assets, but they will also be managed by a person of your choosing, known as the Trustee. They are responsible for overseeing and handling the assets held in the Trust on your behalf.

You should also consider creating a Succession Plan, which will help outline the steps to pass down your business to a person of your choosing. This allows you to leave detailed instructions about how you’d like this process to go, as well as information about sensitive details, like client information, bank account details, and other essential information to help the business transition go smoothly.

At Krause Law, we understand that you have a lot to deal with on a daily basis as a business owner, so our dedicated legal team will do everything possible to help make this process easier for you. Contact our team today to learn how we can assist you through these challenging matters to help you achieve peace of mind for the future.