All businesses aim to maximise their efficiency, but the unique nature of a family firm means they must take a different approach to this. These are some issues your family business should resolve to make its structure and operations work better.

Planning for succession

The point of a family business is for it to be handed down, but that process can turn into a mess if it is not planned properly in advance. From tax issues to determining who will take on what role following the succession, it all needs to be mapped out to reassure any shareholders and prevent damaging disruption to the day-to-day running of operations.

Inheritance tax

The biggest tax issue involved in the hand-over of a family business is inheritance tax. It is something that the members of the family currently in charge should prepare for well ahead of their retirement. Speaking to a family business accountant in Goole or wherever you happen to be based will help, as they will have the specialist business tax knowledge to advise on trusts, pensions and other ways of reducing these liabilities.

Restructuring the business

A family firm should always be structured, both to protect the members of the family and also to ensure it will remain viable for generations to come. This can be achieved through a structure that ensures ultimate control by those managing it or by creating different types of shareholders.

At Adaptive Accountancy, advising family firms is one of our main fields of expertise. Contact us today for more information.