Multi-Generational Wealth Transfer Planning

For many decades and through multiple generations, a family had prospered through the formation and operation of multiple business and investment undertakings. Ownership and business structures to acquire, own, and operate business and investment assets had been modified over the years to benefit from ongoing tax law changes and achieve continued progress toward the estate tax efficient transfer of wealth to future generations while responding to cyclical changes in the economy and the financial markets. Although the resulting group of partnerships, S corporations, and trusts had served the family well over the years, as family leadership in consultation with its advisors contemplated the future, a decision was made to pursue a new direction in family asset ownership.

Working over a period of many months with a multi-disciplinary team of trust and estate, business, real estate, and tax attorneys, a comprehensive plan was designed resulting in the tax efficient formation of a family holding company treated as a partnership for federal income tax purposes. The streamlined structure facilitated achieving increased credit availability from third party lenders, reduced cost and complexity of tax return reporting, simplified negotiations with prospective joint venture participants, and positioned the family to implement the future transfer of wealth through the formation of dynasty trusts benefiting the descendants of multiple branches of the family tree.