Did you know that it is possible to create a guaranteed value and a guaranteed market for a shareholding in a limited company, in a most tax-efficient manner? 
The strategy and the potential benefits are outlined below: financial planning that will help ensure the continuing welfare of both a shareholder’s family and of the business, in the event of the death of a shareholder. 
1. Each shareholder in the business will take out a life assurance policy for an amount which matches the current value of their individual shareholding. Each life policy is written in a business trust for the benefit of the other shareholders and all shareholders enter into an appropriately drafted cross option agreement.The business can pay the premiums and the latter are treated as P11d benefits for the shareholders. 
2. If a shareholder dies during the term of the policy, the surviving shareholders/trustees will claim on the relevant policy and then they will exercise their option, under the cross option agreement, to buy the deceased’s shares. 
3. Instead of the deceased shareholder leaving the shares to his/her spouse, the shares were left to a discretionary trust, written into the deceased’s personal will, with the beneficiaries being the surviving spouse and/or children. 
4. The trustees of that discretionary will trust receive the proceeds from the sale of the shares. The trustees can then make loans to the surviving spouse from the trust fund, thus, the surviving spouse may benefit from the trust. The surviving spouse and her children may well be the trustees. 
5. When the surviving spouse dies, the funds within the will trust will not subsequently be added to the spouse’s estate and therefore will not be assessable for inheritance tax. In addition, any growth in value of the funds within the trust, less any capital distributions or loans made before death, should also be outside of the estate. 
For more information, please contact : Nigel Osgood 
Good employers know that recruiting and retaining a happy and productive workforce involves much more than just providing a place of work and paying salaries. 
A good benefits package can be the key to attracting and keeping the best quality staff which in turn helps the business to be run efficiently and profitably. 
Providing additional benefits can help employees with their largest financial commitment or help them to plan for unexpected events when they become ill, injured or dying – AND help employers retain happy, committed workers. 
The following are some of the benefits which will often be welcomed by both staff and business owners: 
Employee Mortgage Benefit Scheme 
Tax- Efficient Life Insurance 
Income Protection 
Critical Illness Insurance 
Private Medical Insurance 
Dental and Optical insurance 
Health Screening 
Want to find out more about these benefits and how to provide them? 
Click here to download an explanatory leaflet 
Nigel Osgood on 01628 594433 or nigel@afp4business.co.uk 
AFP 4 Business is thrilled to have been appointed by a lender to market its 100% funding facility for building projects! 
Put simply: the lender will look after all of the funding - the cost of the land, the development costs, the legal costs and all the pre/post contract work - allowing you, the experienced developer, to focus on the actual development and still take the majority share of profit. 
A ‘one-stop-shop’ development solution. One set of legal fees, one relationship, and one monitoring surveyor. All costs amalgamated into one – real savings. 
It doesn’t tie up your funds meaning you can turbo-charge your profits through multiple deals. 
No need to service debt at any stage - all interest can be rolled up to the end of the project. 
One JV funder covering all the costs removes the need for inter-creditor agreements and keeps things simple. 
Allows you to take on more projects with all the synergy and profit benefits. 
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