Melissa Lesson, Partner in Family, and Helen Cox, Managing Associate in Tax, explain why Family Investment Companies (FICs) are becoming an increasingly popular alternative to trusts in wealth and succession planning.
The guide explains the key features of FICs and how high-net-worth individuals might look to use them to mitigate Inheritance Tax and protect family wealth from divorce.
"The key advantage of a FIC is that it allows the “founder” of the FIC to pass their wealth to the next generation whilst retaining a significant level of control."
"It also means that, in future years, junior family members can take on responsibility for managing the FIC’s investments, either by being appointed as an additional director or by eventually replacing a founder as a director when the time is right."
Read the full article here.