It is important for you to plan what will happen to your business when you leave, or if in the unfortunate situation, an unexpected event happens to either you or your business partner. In essence, a business Succession Plan focuses on how your business will be transferred to a business partner after a party’s:
- Total or Permanent Disability (TPD); and/or
We have decades of experience in providing businesses of all sizes with appropriate advice to ensure that the business is transferred to the correct party and to provide our client with the security that their business will run smoothly after any of these events.
Our team has in depth experience in ensuring that each Succession Plan is supported by appropriate funding arrangements to allow your business to continue. This includes either implementing an insurance policy or setting funds aside in a relevant account.
When we prepare a Succession Plan for a client our dedicated legal team will first conduct the appropriate due diligence and review all relevant factors including, but not limited to:
- Ownership of all assets owned by our client, including business assets.
- The liabilities attached to our client’s assets.
- Any ownership control and other issues relating to those assets and the structures holding any assets.
- Any current business structures in place including:
Sole traders, partnerships, incorporated or unincorporated joint venture, trusts, companies and any related shareholder’s or buy/sell agreements.
- Possible benefits available to our clients from restructuring the ownership of personal assets and business interests, including real, personal property.
- Superannuation entitlements, including insurance cover and beneficiary provisions applying to that superannuation.
- Considering the client’s potential capital gains tax and other tax implications of our client’s wishes with their accountant or other specialist tax advisor with regard to the passing on of their assets to other family members and/or business partners.
- Liaising with the client’s accountant and/or financial advisor to take into account the client’s overall financial plan.
Once the due diligence phase has been completed, our experienced team at HHG can prepare documentation for including, but not limited to:
- Partnership agreements
- Joint venture agreements
- Buy/ sell agreements
- Shareholder agreements
- Unit holder agreements
- Trust documents
- Variation of trust documents
- Deeds of vesting of trusts – partial or whole
- Variation to super fund deeds
- Contracts of sale transferring property
- Option documents
- Call option
- Put and call options.