For many owners of such a business, their shares or interest in the business will be a valuable capital asset and a source of regular income. Therefore, as part of any estate planning exercise, it is important to ensure that your interest or shares are protected and that the value of them passes to beneficiaries of your choice.
Many business owners do not have appropriate or up to date partnership or shareholder’s agreements in place and often the first step is to establish such an agreement. These must then be considered in conjunction with your Will to ensure they do not conflict with each other or the law.
There is also a valuable Inheritance Tax relief, known as Business Property Relief, which is available in relation to certain businesses and business assets. If available, a properly drafted Will can help to ensure that this relief is protected and the maximum benefit received.
Due to the existence of this relief, there may also be scope for estate planning in your Will to keep Inheritance Tax to a minimum in the future.
At Franklins we can offer the specialist advice required to assist you in providing for your business tax efficiently within your Will. We work closely with our Corporate Team in respect of putting in place or updating any Partnership or Shareholder's Agreements that may be required as part of the estate and succession planning.
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Business Assets and Planning for the Future in the Event of Your Death - See more