Sometimes the right thing to do with a family owned business is to sell it. If that liquidity event provides sufficient wealth and financial independence for the owners of that business, they may want to look at ways of passing that wealth on to future generations in a tax efficient way that also allows them to retain control over those assets.
One vehicle for doing this is a Family Investment Company.
In this episode of the show I discuss these businesses with Helen Clarke from Law firm Irwin Mitchell.
We look at what circumstances these can be suitable and the process to go through to set one up. We look at how a FIC can help retain control of assets, educate the next generation and become a generational planning tool.
We also look at some of the 'what-ifs' and pitfalls to avoid along with covering the importance of family governance and robust legal structures.
You can find out more about Helen and her work with Irwin Mitchell, here: