It goes without saying that companies require specialist financial planning advice. Too many companies leave this aspect of their business to chance risking their business in the process. Expertise is needed to plan around corporate tax requirements and any implications that arise. Companies have many specialist needs including business protection, partnership & key person protection and employee benefit schemes. Contact us on 01242 230024 to arrange a full business financial planning review.
Many small yet successful businesses operate as a partnership of one, two or more individuals, each one of which often brings a unique and valuable skill to the table. If one of the partners dies, his share of the partnership or company passes on to his estate, often a surviving spouse or children. Technically speaking, if the business is a partnership, the partnership is dissolved, which may not be convenient to the surviving partners. If the business is a limited company, the surviving beneficiaries will inherit the deceased shares, and in so doing, will own part of and possibly even gain a controlling influence over the remaining business, but without necessarily having the knowledge or skills to contribute.
It is often in the interest of all parties to put in place an agreement that allows the surviving partners or shareholders of a company to ‘buy out’ the interest of the deceased partner/shareholder. Such an arrangement can provide the deceased heirs with a cash lump sum equivalent to their inherited share, whilst returning ownership and control of the business to the surviving business. There are a number of ways of doing this, including buy and sell agreements, and cross option agreements. The most suitable option will depend upon your company’s circumstances and those of its potential beneficiaries.
Employee Financial Benefits
Acorn Financial Planning Ltd specialise in the design and Implementation of Employee Financial Benefit Packages for any size of Business, from small businesses through to large Plc’s. We ensure that any package is designed to meet the Employer’s Budget whilst providing the most suitable employee benefits insurance and pensions for the Employees. We pride ourselves on Personal Service.