Family Investment Companies - 2nd edition

A Family Investment Company (FIC) is a bespoke vehicle used for estate planning, allowing parents to retain control over assets and accumulate wealth tax efficiently. This commentary explores the key issues to consider when exploring if a FIC is appropriate, including funding, tax, rights, directors powers, unlimited company, privacy, and wealth protection. It is updated with new corporation tax rates and dividend tax rates, and includes new features such as Estate Planning Benefits, Treatment on Divorce, redeemable preference shares, shareholders agreement, share valuations, and accounts preparation. Examples and diagrams are provided to illustrate the concepts.

Format: Paperback / softback
Length: 88 pages
Publication date: 30 May 2024
Publisher: Bloomsbury Publishing PLC

A Family Investment Company (FIC) is a bespoke vehicle that can be used as an alternative to a family trust. It is a private company whose shareholders are family members. A FIC enables parents to retain control over assets whilst accumulating wealth in a tax-efficient manner and facilitating future succession planning. The commentary covers issues on how to fund the structure, what tax issues to watch out for, what rights you might give to the shares, and the pros and cons of different choices. It deals with directors' powers, the use of an unlimited company, and issues around privacy and wealth protection. Different structures are explained and their benefits and disadvantages highlighted. The commentary is brought up to date with the new corporation tax rates and dividend tax rates introduced since the previous edition was published. It also reflects the author's continued practical experience in dealing with clients in this area. New features include a new chapter on Estate Planning Benefits, a new chapter on Treatment on Divorce, enhanced coverage of redeemable preference shares in the chapter on share capital, an expanded shareholders agreement chapter to include more information on what should be included in the agreement, a new chapter on share valuations, and a new chapter on accounts.

Weight: 260g
Dimension: 296 x 212 x 13 (mm)
ISBN-13: 9781526524690
Edition number: 2 ed