Asset Preservation news feed

Treasury could make £8bn of public debt 'disappear'

Thu, 17 May 2012

The first£8billion of gilts – Government bonds – bought under the Bank of England’s QE scheme will be due for repayment from the start of next year.

But it has emerged that with £8B due for repayment next year, the Bank needs to decide whether to recycle the proceeds into fresh gilt purchases, or simply hand the money back to the Treasury.

Should it do the latter, it would suggest that the entire programme – equivalent to more than 20% of GDP – is being financed with money printed out of nowhere, with no prospect of the gilts in question ever being sold back to private investors, which is the official position.

27% increase in 40% rate taxpayers in 2 years

Mon, 14 May 2012

Around 800,000 more taxpayers have been caught in the 40% tax trap since David Cameron came to power.

Experts warn that soaring numbers of people ‘who would not consider themselves rich’ will pay the higher rate.

Chancellor Lobbies Indian Gov't on Vodafone's Behalf

Tue, 08 May 2012

The Indian Government intends to introduce retrospective legislation to tax Vodafone on it's purchase of an Indian mobile operation. The Chancellor has lectured New Delhi on the consequences for future investment by pursuing this course of action.

Off Balance Sheet Accounting by the Government

Thu, 03 May 2012

The Government announced that £28B of Royal Mail pension assets would be used to reduce the projected current account deficit from £120B to £92B in 2012/13. However, this creativity excludes £37B of liabilities that it also took on and so will NOT immediately show on the Government's books as debt. Accounting of the asylum?

It’s official – current public spending rises 2010-2012 in real terms

Tue, 01 May 2012

The government and the Office of Budget Responsibility tell us that real public spending rose by 1.5% in 2010, by 0,3% in 2011 and is forecast to rise by another 0.5% this year. The Chancellor is spending more than Brown, borrowing more than Brown and taxing more than Brown.The economy is flatlining and Britain is still borrowing at a terrifying rate.

£5T burden of public sector pensions

Sat, 28 Apr 2012

All paid for....by the taxpayer.

The UK Economy is Stuck

Thu, 26 Apr 2012

March borrowing by the goverment hit £18B, higher than a year ago and took the annual deficit to a massive £126B. Growth has now been negative for 2 successive quarters and may mean we have QE3 to look forward. Whatever your views, the UK economy is stuck.

Will YOU Be The 100th Monkey?

Mon, 16 Apr 2012

In the early 1950’s, a group of Japanese scientists observing the behavior of macaque monkeys on the island of Koshima noticed that a small number of these primates had begun washing their food before eating.

After years of observation, the scientists noticed that the number of monkeys who were washing their food prior to eating was increasing until, for some as yet ‘unexplained’ reason, when the 100th monkey began to wash his food, suddenly all 10,000 monkeys on the island of Koshima began washing theirs too. The Hundredth Monkey Syndrome hypothesises that there is a point at which if only one more person tunes in to a new awareness, that field of energy is strengthened so that the new awareness is picked up by almost everyone. Or so this ‘story’ goes.

In the business world, more and more SME owners are waking up to what is possible regarding mitigating their taxes AND doing something about it. Saving tax is not just for large corporates. The biggest growth area in the past 15 years in the collection of Corporation Tax has been from the SME sector – will you be one of them or will you be the 100th monkey?

Don't Hate the Player - Hate the Game

Wed, 04 Apr 2012

The Chancellor's economic policy for SME's:

* If it moves - tax it
* If it keeps moving - regulate it
* If it stops - subsidise it

More & more businesses owners are not accepting this particlar status quo.

"Even a €1T Firewall Wouldn't Be Enough"

Mon, 02 Apr 2012

On Friday, the Eurozone agreed to an additional €½T to contain the sovereign debt crisis; a fund created out of thin air with no assets or gold backing it up, except an obligation by the taxpayer to accept the liabilities.

The only problem is, in the words of the German journal Die Tageszeitung, even a €1T bailout is not enough; a sum so big, it would take 2,700 years to repay at the rate of €1M per day.

Markets expect Greek Default

Thu, 29 Mar 2012

New Greek bonds are priced at 22 cents in the $ or in other words, the market is expecting another credit event. To protect against default, insurance was last quoted on March 9, when a buyer of protection would have had to pay $7.8m up front to insure $10m of debt against default ie the market was predicting a near certain default on new Greek bonds resulting in large capital losses for investors.

What are you doing to protect your wealth?

Buy-to-let landlords are sitting on a tax timebomb

Tue, 27 Mar 2012

Many will have to pay two years’ tax liabilities during the next six months, creating a cashflow crisis after years of lightly-taxed income and gains. Many buy-to-let landlords came into profit on their investments in the tax year that ended on April 5, 2011, after the interest rates they were paying were slashed during the recession.

This means that landlords could have to pay as much as 24 months’ tax in just a six month period. Tax for the 2010/11 tax year was due by January 31, 2012, along with half of the tax for the current tax year, while the remaining half of the tax for the 2011/12 tax year will fall due on July 31, 2012.

February UK Borrowing Doubles to Record £15B

Fri, 23 Mar 2012

Borrowing by the Chancellor set another record in February as taxes fell and spending surged.

Politicians hooked on spending

Thu, 22 Mar 2012

Spend, spend, spend. By the government's own admission, the deficit this year will be a record £126B with next year forecast at £120B. In the private sector, the Chancellor would be asked to resign if presenting this Budget to a company Board. At the end of the day, debts are either repaid or the administrators are called. Total UK debt and on [and off] balance government liabilities are now some £5T, with public debt now increasing at the rate of £700,000 every 60 seconds. If the debt obligations were repaid at £1M per day, it would take 13,700 years to pay it off. The debt moutain is so big, the taxpayer can never repay it.

Leading private health firms set up overseas structures to avoid tax

Thu, 22 Mar 2012

Report exposes how four of five biggest health companies that lobbied in favour of health bill can keep taxes to a minimum.

UK families most heavily taxed in developed world

Tue, 20 Mar 2012

A report from think-tank CARE has revealed that a traditional family, with married parents and two children but a sole breadwinner earning the UK mean wage of £35,212, shoulders a greater tax burden [£1,675 a year more] in any other country in the OECD (the Organisation for Economic Co-operation and Development), which includes the US, Australia, France, Ireland and Japan.

100 Year Perpetual Bonds - Mortgaging our Future?

Mon, 19 Mar 2012

George Osborne wants to exploit historically low borrowing rates by making plans to issue "perpetual" government bonds which will never have to be repaid & to relieve the debt burden on future generations by extending the length of bonds to 100 years or into perpetuity. Bondholders would simply receive regular interest payments.

When interest rates do eventually rise, bond holders will incur large capital losses. A case of mortgaging "our grandchildren's future?"

Are You More Afraid of Your Assets Being Taken by Your Own Government than by Criminals?

Thu, 16 Feb 2012

Does it bother you that the government has access to every bank and financial investment account connected to your name?

Does it concern you that you are now more likely to be arrested than sued in connection with your business activities?

Could you or your business be the next target in the war on wealth?

If you have answered yes to these questions, then read on. The only way to avoid being a target is to minimise the wealth that predators can attack. This means ring fencing your assets from predators, & to legally reduce your tax liabilities using non contentious tax planning.

The most effective strategy to protect your wealth is to use holistic, non contentious tax planning. We enable business owners to mitigate their tax liabilities & ensure that their wealth is protected into 2010 & beyond, with our bespoke, non contentious tax planning. All advice is within HMRC guidelines & legislation, decided tax cases or pre approved by HMRC. This means you sleep at night without worry or the fear that predators could take your assets.

It's a Game of Global Currency Chicken

Wed, 01 Feb 2012

Who has the weakest currency? The professional speculative class who are alive and well, speculate with free money and when they make a mistake, they get bailed out.

They are looking for the weakest link - is it the ¥? Is it the £? Is it the $? Depending on how they feel, they select a currency du jour to beat up. The financial oligarchs grow ever stronger, meanwhile you, as a business owner, pay up to 30% to borrow money and there is no bailout money in the event of problems. Protect your assets NOW.

Watchdog could have overturned huge tax bills

Wed, 01 Feb 2012

Tens of thousands of complaints about shock tax demands are never investigated by an impartial judge, Money Mail can reveal.

HM Revenue & Customs has been accused of denying a fair hearing to rebellious taxpayers who dispute bills by failing to highlight their right to have their complaint heard by an adjudicator.

Since September 2010, 158,598 people have complained about unfair demands. Most are honest taxpayers who were unaware they had underpaid National Insurance and income tax.

Daily Mail Article

Britain's poorest hit by £2.5bn 'stealth tax'

Thu, 12 Jan 2012

Tax cuts for low and middle-income families in April will be dwarfed by hidden reductions in tax credits, according to a study for The Independent.

The analysis found that the £1bn of tax cuts in April will be outweighed by reductions of more than £2.5bn in the complex tax-credit scheme.

Most of the cuts to credits, which top up the wages of low-income families in work, will take effect from April and could catch families unaware.

The Government's flagship policy of raising income-tax thresholds has been trumpeted by the Liberal Democrats as their main achievement since the Coalition was formed last year – and a major boost for the low-paid.

But the Resolution Foundation think tank, which undertook the study, questions the fairness of the changes.

George Osborne, the Chancellor, increased the personal tax allowance from £6,475 last year to £7,475 in the current financial year, and it will rise to £8,105 in April. Nick Clegg hopes it will reach £10,000 by the next election to fulfil a key pledge in last year's Liberal Democrat manifesto.

Independent news article

Oxford, Cambridge, Eton; Bullets, Bombs & Banks

Mon, 09 Jan 2012

According to Gerald Celente of the Trends Research Institute, these are the powers responsible for our economic destruction [& in the US, Princeton, Harvard, Yale].
How long is the taxpayer going to put up with:

Bailouts that bail out only the biggest, greediest, most incompetent, and most unscrupulous
Stimulus packages that mainly stimulate government workers and special interests
Tax relief for mega-billionaires
Draining an already depleted treasury to wage endless, exorbitantly expensive wars in foreign countries
Bailouts for the banking system and as with all government initiated support schemes, is doomed to failure

The list goes on. Given the all-encompassing scope of the destruction, some contend it is a plot to deliberately bring the system down. Trend Research

Will you be protecting your business from the tax increases to come or will you just go with the flow?

Greece is the Word

Tue, 03 Jan 2012

First it was Dubai, then Ireland and now it's Greece. Is the UK next? Is sovereign debt the 2nd phase of the financial contagion?

Greek 1 year government bonds give a return of 439% – but with the heavy risk of default. Any default could set off a massive sell-off of government bonds within the eurozone and would represent an enormous destruction of wealth.

What are you doing to protect your wealth?

MPs attack HMRC's 'cosy' deals with big business

Tue, 03 Jan 2012

A committee of MPs has criticised "cosy" deals between HM Revenue & Customs (HMRC) and big businesses.

The MPs singled out Dave Hartnett, permanent secretary for tax, for failing to handle tax negotiations with some big companies properly.

The Public Accounts Committee said large firms got favourable treatment and there was a lack of public accountability over how deals are done.

HMRC rejected the findings and said the MPs had misunderstood the facts.

BBC News

Super-rich Dodge Stamp Duty

Wed, 14 Dec 2011

How the super-rich avoid stamp duty while ordinary families pay tens of thousands

The super-rich are costing the taxpayer up to £1billion a year by exploiting a legal loophole which allows them to avoid paying stamp duty when selling their exclusive homes - meanwhile, ordinary families are paying tens of thousands of pounds simply to move home.

The tax avoidance involves transferring ownership of a property to an off-shore company so when it comes to be sold the buyer purchases the company as a whole assuming de-facto ownership of the property.

This means that while a family buying a home costing £400,000 would pay £12,000 to the Government, a multi-millionaire buying a luxury pad could pay nothing.

This is Money Article

Q E 2 Explained

Wed, 07 Dec 2011

Here is an entertaining video that helps explain what Quantitative Easing is, and who in general benefits from it.

Economy is at 'turning point'

Thu, 17 Nov 2011

Ed Miliband has said the UK's economic worries have reached a "turning point" and urged ministers to change direction "for the sake of the country".

The Labour leader said all the evidence showed the coalition's policies were not working and a stimulus package, not continued austerity, was now required.

The opposition suggest the government's policies could see borrowing more than £100bn above target by 2015.

BBC News 17th Nov 12

EU Plan to Control Britain's Economy/Taxes

Fri, 14 Oct 2011

It is proposed that financial penalties be imposed on countries with persistently high budget deficits [like Britain, who has the highest] and for Britain to pay £0.7T towards the cost of the Greek bailout, even though it is not part of the Euro.

And how will this be paid for? By taxes of course, no doubt controlled by the EU.

Will control of taxes be next on the agenda? Have you protected your business assets?

Gov't Cuts Spending by £81B v £185B Support to the Banks

Thu, 28 Oct 2010

When will the taxpayer wise up? One rule for the Corporate elite and one for the SME owner.

5 out of 10 days, You Work for the Gov't - Are You Concerned?

Mon, 23 Aug 2010

The average UK worker has to toil through the first 191 days, more than 52% of the year, to pay off the costs of their ever burgeoning local and central government as well as the costs of funding the deficit. This leaves just over five and a half months for Britons to provide for themselves and their families before the tab for government becomes due again.
Are you concerned? Talk to us on practical steps you can take to ease this burden.

This is Not a Capitalist System Any More–It’s Over

Tue, 20 Apr 2010

The government continues to take over corporate and key sectors of the UK economy. What does the government run that is efficient?

The Banks?
The Pension industry?
Local Goverment?
Fisheries Policy?
Education?
The Armed Forces?
What next-bailouts for the airline industry?

If you pay in more in tax than you need to - will the Government bail your business out?

Government Continues Assault on SME Owners

Tue, 06 Apr 2010

A little noticed but significant change has been announced in this year’s Budget. Its effect is to deny corporation tax deductions for the amount of any write-off of loans to members of close companies. The change is of interest to companies who have less than five shareholders.

There is also significant restructuring in the legislation covering transactions in securities promised for later. A new” income tax advantage test” and a new exemption covering fundamental changes in ownership of close companies will also be introduced.

The Party's Over

Sun, 21 Feb 2010

New headlines this week report dire economic news:

UK business lending falls at record pace
European Credit Markets Flash Hot Warning Signal
UK mortgage lending drops 32% to 10 year low
Bundesbank fears second wave of credit crisis after collapse in company profits which could lead to breaches in loan covenants

In difficult times, what are you doing to protect your family from Inheritance Tax, including your business assets? What tax mitigation strategies have you in place to protect your company? A lack of planning could be very expensive - contact us now for a no obligation discussion.

Feathering the Nest

Tue, 09 Feb 2010

The Personal Accounts Development Authority (PADA), who were charged with bringing the Government’s new pension scheme for the lower paid to the market, now have only one interested supplier, the Indian car giant, TATA, having started with five firms interested. In another fine example of how they are guarding your money the Chairman, (who only costs you £230Kpa in salary,) has decided that this name needed changing to NEST (National Employment Savings Trust) at a cost to the taxpayer of £363K.

NEST, however, are convinced that the sole bidder will not charge more than they might as a result of its monopoly position.

If you are the owner of an SME who does not currently provide your employees with a pension, then you will be forced to pay for this scheme and your workers will be forced to put all of their money on the Stock Market [with their pensions relying on hugely optimistic forecasts by NEST] and you will also have to pay up and join, unless YOU TAKE ACTION to opt out. If your business does opt out, this means of course that your staff will be forced to rely on the state, an expensive dilemma for you and your employees, which will be a huge administrative burden for you and your company. If you would prefer not to pay more than you legally need to in supporting this type of inefficiency and waste, then you should speak to a professional tax advisor on what your options will be.

An Introduction to Non Contentious Tax Planning - What Accountants Don't Know About Tax Mitigation

Fri, 05 Feb 2010

A presentation examining how Accountancy practices can increase their fee income and retention rates by enabling higher retained profits for their clients.

Following the PBR announcement in December, the topics being covered are:

How your clients can STILL extract monies tax efficiently from their business
Why dividends CAN be counter productive
How your clients can AVOID the IHT consequences of different tax strategies
How accountancy practices CAN OFFER bespoke Corporate, Income, NI & Capital Tax Planning to their clients

You Don't Have to Emigrate to Pay Less Tax [Legally]

Tue, 19 Jan 2010

Forget being a multi millionaire banker, London is now one of the most expensive of the world’s major financial centres as far as income taxes are concerned. The tax payable by those earning £150,000 or more means that Frankfurt, Paris, New York and the Switzerland are cheaper than staying in the UK.

Of course with planning we can help you save more of your money than you otherwise would. Our advice is sensible and so will not include the fact that should you emigrate to China or Hong Kong you will pay roughly 25% of the UK’s tax rates. That’s fine for the super high earners but for those of you from any walk of life on £150,000 or more, figures show for the first time since 1989 that our top rate of tax is now higher than both France and Germany which means we really are going backwards to the bad old days.

You can however legally and openly pay less tax by planning your affairs properly. You could save many thousands of pounds because our expertise is in doing the things many accountants 'don’t know that they don't know'. We do not use “rubber needles to thread through tiny loopholes” which are always open to challenge and even if you win you will have had 2-3 years of aggravation. To give you a flavour of what is possible, register here to have a look at some of our tax saving seminars on what might be possible for you.

We All Know We Live in a Fiat Currency World

Mon, 18 Jan 2010

The government can print as much money as they want with the only limiting factor being how fast the printing presses can operate. And, there is nothing that backs up Sterling, like for example, gold, so the big risk they run is inflation.

Now in the private sector we can't print money and if we did, it would be called counterfeiting. We have to repay our debts as they fall due or we go bankrupt. This counterbalance leads to deflation in the economy when bankruptcies increase, which they are. In the UK, the public sector is 50% of the economy whereas in the US, it is only 20% which normally limits the reach of the authorities on their ability to reduce the impact of the recession. However, in both countries, colossal private debt from the banks and insurers has been channelled back to the government as toxic debt. Will Sovereign debt be the next major crisis for the private sector to bail out, as ever, funded by the business owner? Can you reduce debt by increasing it? We think not.

Great News for IFA’s Wishing to Enter the Corporate Market

Mon, 18 Jan 2010

In 2012 the government’s latest pensions “initiative“, the Personal Account, was due to be launched. The personal accounts scheme is being created to provide an allegedly low-cost, “independent”, workplace pension scheme that any employer can use. It aims to provide access to workplace pension saving to millions of people – typically those on low to middle incomes.
This so far has attracted very little apparent interest from employers. For SME owners who employ staff the Personal Account is set to be an administrative, and possibly, financial disaster. Employers will be compelled to offer a pension scheme to all employees run along bureaucratic lines from that date. It will be run by a “not for profit” Trust Company, allegedly independent but reporting to Parliament. Not for profit does not mean inexpensive fees of course! The Personal Accounts Delivery Authority (PADA) is in trouble over obtaining sufficient competition for the role of supplier of personal accounts in 2012.

The Chief Executive Tim Jones has said “the authority remains very confident we will have a strong competition for the final contract” this is a difficult statement to accept as even at this stage describing the continuing process as “a strong competition” with only two horses left in the race is pushing it a bit.

It is critical that the right decision is found. We have seen through the tax credits fiasco how much misery can be caused by bad administration. With only the Indian firm Tata left, it is a one horse race now. The disconnect between Pada’s only objective (to deliver the product) and the government’s constant meddling with pensions is becoming increasingly obvious” he says.
It is frightening that the long term provision of pension benefits is left to the fugacious political whim of a small group of people that has a separate and well funded retirement promise.
Clearly one of the major problems that potential suppliers have, is the potential for people to opt out of the scheme (and they have to opt out rather than be opted in) is that suppliers have no idea of the amount of money that they may make from the scheme and whether the whole thing will become an administrative nightmare.

Employers will be able to choose to use the personal accounts scheme or another qualifying workplace pension, for example:

Where an employer makes contributions on the minimum band of earnings required by the Pensions Act 2008, an 8 per cent contribution for an average earner (approx £25,100) would be approximately £1,600 per annum
Alternatively, an employer might choose to make contributions on a broader band of earnings, for example by basing them on the first pound of pay. In this case an 8 per cent contribution for an average earner (approx £25,100) would be approximately £2,000 per annum
Transfers in and out of the scheme are banned (except in some special circumstances, such as retirement).

All in all for the IFA’s this is a golden opportunity to enter the corporate market. All companies are affected. No one can say “no” to providing a pension scheme, and the other opportunities to sell IHT, Pensions and shareholder /director protection are more favourable than for many years in our opinion.

If you wish to find out more contact us. We do not offer financial advice but are able to advise you of tax efficient ways to help you build a practice with a difference and your clients meet their obligations.

Executive Family Trust

Tue, 05 Jan 2010

Running your own company, successful business?
Like to consider setting up a structure with valuable tax breaks?
Is your private estate worth in excess of £1M?
Would you Like to remove completely the value of your house from your estate for Inheritance Tax?

Simply writing a will does NOT achieve this.

If you would like to keep control of your affairs whilst at the same time saving tax, we may be able to help you achieve significant Inheritance Tax savings together with possible income and capital gains tax benefits for you and your family. Contact us now for further information.

The Court of Protection

Tue, 05 Jan 2010

A Stealth Tax by Another Name

The government is concerned about people who have either not made a Will and/or have made no provision in the event they become mentally incapacitated. To this end, they have set up a new body, the Court of Protection. Previously, this was covered by Enduring Powers of Attorney [EPA] and the court system which was an easy system to use and relatively economic.

Comment

The costs and way the court operates ensures maximum inconvenience and cost for those people who neglected to take a simple precaution while they were able to handle their own affairs. Their families will receive much less than would have been the case had simple planning been done and the elderly will have problems meeting their obligations or having their wishes realised.

The new court works on the basis that all individuals looking after elderly parents are not to be trusted. Furthermore, it is a great way for the state to obtain money from the taxpayer. All of this could have been avoided by the simple expedient of setting up a Lasting Power of Attorney while they were still “compos mentis” and had legal capacity to make such arrangements. Not to do so is negligent and “pennywise - pound foolish” and can cause untold misery to you and your family, as well as crippling your business should you die before selling it.

If you require further information or advice on how to stop the state taking your money unnecessarily, in fact another stealth tax, contact us for a no obligation discussion on how to safeguard yourself and your family.

Does Your Pension Need Liberating?

Tue, 05 Jan 2010

Many business owners find that their current pension provision is quite restrictive and want more flexibility. It may be possible to offer increased flexibility if you qualify as follows:-

Do you have a substantial pension fund in being?
More than, say, £100,000?
Do you wish you could invest in residential property and retain the tax breaks that the pension scheme gives you?
Do you want your family to benefit should you die?
Do you feel frustrated at the lack of flexibility in your existing pension scheme?

The good news is that you may be eligible to liberate your pension from HMRC Rules without the need to resort to tactics that you hope the Revenue will not discover.
If you wish to ensure that your fund remains free of Inheritance Tax even after benefits have been taken and you are frustrated by the rigidity of your current pension scheme, then you should contact us for a no obligation discussion to discover if you are one of many who can achieve these objectives and free your pension scheme from UK HMRC Rules whilst maintaining its tax favoured status. Even if you are not for some reason eligible for total freedom, much can probably still be done to help you enjoy your pension more.

Expand Your Income Through Shareholder & Partnership Planning

Mon, 07 Dec 2009

A presentation examining the way this should be done properly and the beneficial result on income to your IFA practice and to your client’s personal and family safety. Areas covered included the Corporation Tax, IHT and CGT problems associated with the way this is done by Life Offices, the solutions and most importantly, how much more IFA's can earn than just commission on Life Policies.

The secrets of getting business owners to act to ensure the smooth succession of their family business and why so few business owners are willing to act to ensure their families are not disadvantaged should they die or fall ill.

Your Family Home

Thu, 22 Oct 2009

Local Authorities force the sale of up to 70,000 family homes in England & Wales each year to cover the owner’s costs of long-term care. This, of course, significantly diminishes your childrens’ legacy which you have striven for during your working life. To assist you, we have designed a sensible and legal way to ensure that your children receive the inheritance you intended for them.

By acting before long-term care becomes either likely or necessary, Family Home Protection can ensure that your home is not personally owned by you upon your entry into care. Once this is done, it will not be possible to assess your home as part of your financial worth, as the home will not be a capital resource available to you.

It should be emphasised that if you wait until you are ill and/or likely to be in need of care, the Local Authority will seek to set aside such planning. If however you plan a sensible period in advance, it can be a “safe” thing to do for your family’s advantage. Before acting, however, it is necessary to be sure of your rationale and intentions. You should take individual advice before acting as it is not necessarily for everyone and your personal circumstances may suggest that it is “not for you”. For most people it is, but advice is necessary before acting.

For a free fact sheet, please fill in an enquiry form.

Protecting the Value of Your Shares

Thu, 22 Oct 2009

If you are successful in business you may be one of the 5% of business owners who has taken steps to ensure that in the event of your death your family receives the value for your shares. For 95% of business owners, however, their next of kin will receive, at best, only a fraction of the worth of their business because of lack of sensible planning.

For those who have planned, your policies may have been arranged by your bank, your IFA or your Accountant. If so, it is almost certain that there are tax traps and hidden dangers in the arrangement of which you or they are unaware. Some of these are due to changes in tax legislation several years ago and most advisors have not understood both the scope and effect of these. Almost certainly, if your bank in particular has arranged the agreement and policy, then normally we find that business owners are typically paying 50% more in premiums than is necessary. Also, the policies they sell do not generally provide guaranteed rates of premium and cover. They are also very likely to be for a very short term and so you will face a rising bill and uncertainty as to the availability of future cover.
If you wish to have a free review of your arrangements and advice on both the tax treatment and the efficacy of the life cover with no obligation, we would be pleased to do so.

If on the other hand you are one of the 95% of shareholders or partners who has done nothing to protect themselves and their families, we offer a free fact sheet which explains what you can do to ensure your family and company are not jeopardised in the event of the unfortunate death of you or a fellow shareholder leaving your family (or you) financially in trouble.

Protecting the Interests of Shareholders

Wed, 14 Oct 2009

Over 90% of unquoted companies in the UK operate without the safety of an agreement between the shareholders on what would happen in the event of death, sickness or a shareholder wishing to retire. This is dangerous and will lead to paralysis of the business should a shareholder die and/or unnecessary arguments as to the valuation on death or for other purposes.

See the video section for further information. We at Asset Preservation are experts in ensuring that the agreements are not only legal but tax efficient too. Contact us for a no obligation discussion on how we can help you avoid the problems of not thinking ahead.

Bank Interest & Security

Wed, 14 Oct 2009

Many businesses are facing difficult times and may be incurring substantial interest payments to their bank as well as having to provide significant amounts of security to keep their companies afloat. In these instances, the shareholders may very well have the answer to their problems nearer to hand.
Depending on your businesses circumstances, it may be possible with other asset security to save you many thousands of pounds. There are opportunities to save not only bank interest but also not having to use personal assets as security, as well as saving tax in the current year and also claiming back tax paid by the company in the past 1-3 years, depending upon the circumstances in each particular case.
For further information, contact us for a free initial discussion.