Family Limited Partnerships and Limited Liability CompaniesFamily Limited Partnerships (FLP) and Limited Liability Companies (LLC) are business entities used by families to manage and transfer wealth to younger generations. Typically, the FLP or LLC is formed by parents who contribute assets to the entity in return for units. The parents can then embark on a plan of giving FLP or LLC units to their children and grandchildren while retaining the FLP or LLC units that control the entity. Our team will manage the entire scope of the FLP or LLC, from working with legal counsel on the formation of the entity to advising how and when to make partner distributions. In addition, the team will manage all accounting aspects of the entity, as well as preparation of gifting schedules, gifting letters, gift tax returns, business valuations, distribution strategies, and partnership returns to maximize the benefit of the FLP or LLC.
How you benefitAsset values are reduced for estate and gift tax purposes through significant valuation discounts Since FLP and LLC assets are considered separate assets, not marital assets, they are protected in the case of a failed marriage An FLP or LLC can reduce probate costs with respect to real estate located in other states, since ancillary administration is not required FLP and LLC assets are protected from the claims of future creditors or partners.
Designated Certificate Holder: 647