• Ensure all your eggs are not in one basket: We often see that our clients have been phenomenally successful by concentrating their resources. This does, however, create risk if their and their family’s wealth are all dependent on the success of one venture. Some of this risk can be mitigated by corporate structure, e.g. ring-fencing individual business lines into separate companies, with a holding company over the top. Diversifying your wealth into a range of asset classes should also be considered. Different structures can be considered such as the use of trusts to hold assets including business interests and funds.

• There is more to protecting your wealth than minimising tax: There are a range of ways to minimise your tax liabilities, but this is just one of several considerations. Many such strategies entail giving up of control of assets and can be difficult to unwind if your situation changes. You also need to consider the ongoing cost of more sophisticated arrangements (e.g. professional fees). Not letting the tax tail wave the dog is key.

• You need to be aware of the risk divorces poses to your business: Many entrepreneurs are unaware of the full powers of the English Family Court when it comes to making financial orders on a divorce and the associated jeopardy to their business. This is especially the case when entrepreneurs start sharing the benefit of their businesses with their wider family. There are mechanisms that can be used to mitigate the risks in ways that can take the heat out of what can otherwise be very difficult conversations.

Across the world, we are trusted to support and guide our clients in:

• Tax and succession planning
• Family investment companies
• Trusts and estate planning
• Pre and post nuptial agreements
• Philanthropy, including setting up and running charities
• Resolving disputes and mitigating risk
• Investing in assets, from property to luxury commodities

Examples of our work include:

• Advising a leading international entrepreneur on his relocation to the UK, providing pre-immigration tax advice and structuring his investment portfolio to make provision for his children who were resident in four different jurisdictions.
• Advising a founder of a successful UK start-up business on the protection mechanisms available to preserve both business and personal assets for the long term.
• Advising an entrepreneur client who, while still in the prime of life, wanted to create a structure now to preserve his legacy. Our advice included the creation of a family office and trusts that treat the beneficiaries fairly whilst encouraging those not involved in the business to take responsibility for themselves.
• Advising a significant first-generation family business on reviewing its family governance and intergenerational succession plans, advising on the potential benefits of adopting a family charter and dealing with the associated asset and wealth protection options and strategies.
• Advising an entrepreneurial client who exited his business several years ago and required advise on the transfer of his shares to a family trust for his children.
• Advising a first-generation property entrepreneur on the creation of trusts to hold IHT relievable parts of the business, including removal of non-qualifying businesses from the group by way of demerger.