Frequently Asked Questions
Q: How should I review, revisit, and revise the family business structure if I pass away?
It’s a common occurrence to have family members form a business together; therefore, it’s important that such enterprises should also consider the ever changing nature of the law, which includes taking into account the overall structure of the family business and investments in all of its complexities. It often gets lost in the shuffle within a family business that the circumstances may dramatically change, and for that reason, it becomes necessary for anyone involved within the business to monitor and review these structures on a periodic basis to ensure its continued effectiveness.
Some of the considerations regarding family business structures may include:
· the transfer of wealth to future generations;
· planning to ensure the continuation of the business; and
· utilising living wills that outlines how decisions are to be made under certain circumstances.
Family businesses aren’t immune from the vagaries of life and to ensure that the structure continues to flourish, it’s always useful to have an understanding of how such business structures operate, while also preparing for the possibility of revamping the structure if the need arises.