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Business Trust
A Business Trust is utilized as part of a broader business ownership and succession planning strategy. It can hold business interests, shield personal assets, and govern how a business is managed and transferred.
Key Benefits
- Ensures smooth transition and succession of business ownership without probate
- Can provide liability protection separating personal and business assets
- Offers privacy regarding business ownership and operational control
- Highly customizable to fit the specific operating agreements of the founders
Often Used For
EntrepreneursBusiness OwnersSuccession Planning
Common Use Case
Used by business founders to ensure that upon their death, the business shares immediately transfer to their children or partners without court interference or operational halts.
Cost Expectation
Moderate to high, depending on the complexity of the business valuation and succession provisions.