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Transfer of Business Ownership to 3rd Generation

We completed the transfer of a family owned S corporation from the 2nd to 3rd generation.

Techniques used to create this efficient transition included gifts to non-grantor generation-skipping trusts that have divided trustees (one trustee responsible for certain matters pertaining to the stock (voting, retention, sale) and another trustee responsible for all other decisions and assets (timing and amount of distributions, general trust administration and investment of non-stock assets) and redemptions.

We facilitated the multi-generational family meeting to discuss the significance of the transfers, the terms of trusts, and the ownership agreement setting rules and restrictions for ownership.