Succession planning and Family Business

We provide the service of successioon planning and the generational change-over in family companies and people with substantive patrimony.

This kind of advisory, which entails the patrimonial generational change-over, covers a number of issues well beyond a mere sale or transfer of a company. This is the right time to analyze the family’s and the company’s structure the head of the family’s vision and philosophy and his successors’, maintaining the family unity and its patrimony over time, avoiding fractioning and division of the company’s assets and excessive taxation in the process of handing over the family business to the next generation. This requires legal precautions which ensure an orderly and organized succession (family agreement or “family protocol”).

As a result, we provide a legal layout that ensures the unity and harmony of the family and the corporate structure of the family’s Business, seeking the optimization of the tax burden of every one of the legal vehicles (contracts, Testaments, shareholders’ agreements, etc.) and of their financial effects in every tax to which they may be subject (Income Tax, Donation and Inheritance Tax, Stamp Tax, etc.).

Among other tax issues to be considered, are:

  • Taxation on the capital gains, the sudy of the cash flow required for the family’s patrimony change over, with an adequate verification of the means to carry out acquisition of the family’s business by its new members.
  • The study of the parents’ assets and testaments for the projection of the Donation and Inheritance Tax.
  • Studies of the company restructuring alternatives, which effectively safeguards the family’s patrimony, the ownership change-over the control and Management of the family’s Business, family protocols (shareholders’ agreements, structures of the family governance, etc.).