Until now, the general approach has been that a company cannot claim privilege against its own...
The decision to set up in business is a very significant one and is usually accompanied by detailed planning and careful analysis of the risks. The entrepreneur naturally focuses on the risks which face the business in the early years. If the hard work and commitment is to pay off then it is equally important to have some strategy for either exiting the business or handing over to the next generation.
George Green’s private client team encourage clients to look ahead in this way and thereby ensure that unforeseen events do not destroy the value that has been built up over the years. It is important to cater not just for a planned exit but also for unforeseen events such as incapacity, divorce and death.
We work closely in Private Client with our Corporate colleagues to ensure that the right structures are in place. Typically we may look at cross option agreements for those in business with others. Advance thought is required as to where the funds will come from if others are being provided with an option to purchase/sell. Where appropriate we will involve other trusted professionals such as Financial Advisers where for example insurance based products are required to bolster the arrangements. Here at George Green we recognise that planning for the future includes but is not confined to the preparation of a suitable will. When it comes to advising business owners George Green’s private client team recognise that the route out requires as much meticulous planning and forethought as the way in.