Family Limited Partnerships: An Overview

Family Limited Partnerships:
An Overview
EntrepreNews

FLP terms are very flexible, and can be changed or terminated by the general partners, as opposed to irrevocable trusts which require heavy litigation to amend.

In a family business, the company’s financial challenges can also become the family’s financial challenges.When a business owner dies, the family inherits all his/her assets, including the highly valued (hence heavily taxed) company. All too frequently we hear of a family that has sold off the company to pay crippling estate taxes.

Fortunately, financial estate planners have come up with an effective strategy to counter this problem: the Family Limited Partnership (“FLP”).Although this structure has some technical complexities, the concept is very simple.This article illustrates some of the benefits of this strategy so that you can make informed decisions about the future of your business and your family’s financial well-being. More…

Creating a Strategic Contingency Plan

Creating a Strategic Contingency Plan Baylor

Legacies Newsletter

As a business owner or manager, you probably spend too much of your day making decisions regarding marketing, employee relations, inventory, hiring/firing, payroll, banking, and litigation. Yet, how much time do you devote to creating a Plan of Action that takes place in the event of your unanticipated death?

Wait!–before you move to the next article thinking this is only another boring insurance discussion–read on. In its highest and best use, insurance is designed to deal with unanticipated death; but it only provides the funding for a plan if one is in place.

That’s where Strategic Contingency Planning comes in. More…