Helping you plan for the future

Helping you plan for the future

Mr A had run a very successful company for many years and 4 years ago introduced his son into the business as an employee. Mr A approached us as he was anticipating his retirement in the next 5 years and wanted to know the best way to pass the business on to his son, whilst still receiving some consideration (i.e. not making a complete gift).

His son was not able to raise the funds to buy the business from Mr A outright. However we were able to review the situation for Mr A and advise of a part gift of shares to his son and a part share buyback of Mr A's remaining interest by the company itself from the built up reserves, suffering only 10% Capital Gains Tax.

This planning was most efficient as it enabled all necessary criteria to be met due to the 5 year planning window before retirement was to commence. However we are often able to advise clients who have a much shorter window for planning.