How Can Trusts Be Used in Business Estate Planning?
Trusts play a vital role in business estate planning by providing a mechanism to manage and distribute assets efficiently. There are different types of trusts, such as:
Revocable Living Trusts: Allow the grantor to maintain control over the trust assets during their lifetime and specify how the assets should be managed and distributed after death. Irrevocable Trusts: Once established, these trusts cannot be modified or revoked, offering greater asset protection and tax advantages. Family Trusts: Designed to hold and manage family-owned business assets, ensuring their preservation and smooth transition to future generations.