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Asset Protection Planning
Generally, Asset Protection Planning is intended to place assets beyond the reach of future potential creditors. It is not a "trick" used to "hide" assets from current creditors. The law does, however, afford citizens several forms of relief if you know how to find and employ them. The attorneys here at Fette Helquist + Park seek to understand the big picture, and then plan accordingly.
Many firms believe that a limited partnership or an LLC is the extent of "asset protection." Although they are good components, they may be just the beginning. Additionally, Nevada’s Trust Laws are, simply put, the best in the country when it comes to asset protection. Don't be fooled, Asset Protection Planning can be extremely complex, and failure to do it right may have civil or criminal ramification or just plain make financial management onerous.
Each strategy, or component, implemented must be for a valid purpose. Strategies implemented may include the use of one or several business entities or the use of certain special trusts. All asset protection techniques have one thing in common: they each make it more difficult for a creditor to either find or take assets. By implementing a properly designed Asset Protection plan (which may include an Asset Protection trust as well as a family limited partnership) an individual can legally put a significant portion of his or her assets out of the reach of judgment creditors.
Don’t waste any time. The earlier you put your plan in place the more effective it will be. If you own liability-prone assets (e.g. real estate) or engage in liability prone activities (e.g. businesses, including Professional services, which are subject to tort liability) there is a lot we can do to help you!
Estate Planning & Estate Engineering
Generally "Estate planning," is defined as focused planning that may include several strategies, or may be very simple. The overall purpose of Estate Planning is to pass the assets or items you have accumulated during your lifetime (or may acquire) to your selected heirs in an orderly fashion, at your death. The key goals of Estate Planning are usually, 1) to avoid probate; 2) to ensure your assets go to where YOU want them to go; and 3) to assist in the possible reduction or elimination of estate taxes.
It usually entails several instruments, such as a:
- Last Will and Testament;
- Revocable Living Trust (or Family Trust);
- Certificate/Affidavit of Trust;
- Durable Power of Attorney;
- Living Will;
- Health Care Directive; and other ancillary documents.
Depending on the size of the estate, the pricing will vary, because of the complexity involved.
Our office believes that there is so much more to proper estate planning than just the above. This is why we use the term "Estate Engineering." We work closely with our clients, and their existing trusted advisors to assist them in maximizing their tax benefits and retirement planning..
Advanced Estate Planning
Fette Helquist + Park represent many high net worth families. For such families, our primary objective is to minimize the estate and gift taxes that are normally associated with the transfer of wealth from a senior generation to a junior generation. We use cutting edge estate planning techniques such as Family Limited Partnerships, Grantor Retained Annuity Trusts, Installment Sales to an Intentionally Defective Trust, Private Annuities, Charitable Remainder and Charitable Lead Trusts, Private Foundations, Financed Net Gift Trusts, Remainder Purchase Marital Trusts, Generation Skipping Trusts and Qualified Personal Residence Trusts to name a few. All of our attorneys have a significant tax background and all of the partners possess an LL.M. in Taxation.
For our higher net worth clients, we usually schedule an extended consultation to review their complete estate. After these sessions, we will give the client an extensive Estate Planning Proposal that he or she can show to their other trusted advisors. Please feel free to call our office and schedule a free introductory conference to interview our attorneys.
Probate
Probate is the process by which certain property belonging to a decedent is transferred to the decedent’s intended recipient. The goal of proper Estate Planning is to minimize the need for probate. This is because Probate can be an expensive and time consuming process. When it is necessary to probate an asset, trust FHP with the details.
Business Planning
There are many important decisions that go into starting and operating a business. One of the most important decisions is determining the best type of entity to use. Evaluating the benefits and drawbacks of the different options can be a difficult and complex task. Whether you want to form a Partnership, a Limited Liability Company (LLC), an S-Corporation, or a C-Corporation, our firm can help you determine which structure is best suited for your situation. Two of the most important considerations in forming a business are the tax consequences and the limitation of the owners' liability. We can draft documents to meet the needs of your business, optimize tax implications, and protect you and other owners from the enterprise's creditors. After formation of the business entity, we can advise you in the operation of the business to ensure that you do not lose the benefits offered by your chosen type of entity. For owners of closely held businesses, we can assist in preparing an estate plan that makes sure your business continues to be owned and operated how you intend, after you leave the business or pass away.
The general types of business structures include the following:
- C-Corporations
- S-Corporations
- Non-Profit Corporations
- Limited Liability Companies
- Limited Partnerships
- Limited Liability Partnership
- Sole Proprietorship
Limited Liability Companies
A Limited Liability Company is a type of business entity that combines certain limited liability principles of a corporation with the pass through tax benefits of a partnership. It is relatively flexible and simple to operate and, like a sole proprietorship, there is no statutory necessity to keep minutes, hold meetings or make resolutions, which can trip up many corporation owners. The owners are called "members," and if structured properly, no member is personally liable for the company debts. Profits and/or losses are passed directly through to the members. Our firm can draft LLC documents that comply with state and IRS regulations so that the LLC will be taxed as a partnership and not a corporation (which would result in double taxation).
In some instances, a Limited Liability Company can be created that will provide you with limited personal liability, but will not require an additional tax return. This type of LLC is referred to as a "disregarded entity" for tax purposes. Ask one of our attorneys about the pros and cons of this type of structure.
In other instances, you might live in a state that allows for a particular type of LLC called a "Series-LLC." A Series-LLC can provide the ability of a business (or property) owner to isolate certain assets and liability from each other, thus protecting not only him or herself personally, but also protecting certain assets from each other.
Charitable Planning
Many people desire to benefit charity but are unable to donate property while they are alive. For example, a donor may have property that is needed during life to cover living expenses or rising health care costs. A donor can retain ownership and use of property during life and still benefit charity by leaving it to charity at death.
There are many strategies available that provide a way for a donor to leave property to charity by including a bequest in his or her will or trust. If the Donor has the desire and ability to do so, there are many ways to structure a gift while the Donor is alive that can provide immediate tax benefits to the Donor, even though the gift to Charity will not technically happen until they die.
Our office has helped clients benefit the charity of their choice using a myriad of charitable planning strategies including gift annuities, reserved life estates, pooled income funding, and several charitable trusts (Charitable Lead Trust, Charitable Remainder Trust (Annuity & Unitrust), and others, including a straight bequest at death.
If you have a desire to benefit a charity, please contact our office to schedule a consultation with one of our attorneys. The process may be simpler than you think, and the benefit may be much greater!
Corporate Mergers & Acquisitions and Securities
The Firm's transactions have varied from a few hundred thousand dollars to several hundred million in size and have included negotiated purchases and divestitures by public and private companies, tender offers, restructurings, spin-offs, leveraged buy-outs, and "going-private" transactions. We are experienced in representing sellers, buyers, investors, investment banks, commercial banks, private equity and venture capital funds and institutional lenders.
Fette Helquist +Park's diverse corporate, securities and finance practice includes merger and acquisition transactions and U.S. private offerings of equity securities, debt securities, real estate investment trust (REIT) shares, limited partnership interests, and asset-backed and other securitized financing. The law firm also has extensive experience with private placements of equity and debt securities for both established corporations and new ventures, including "high tech" companies and real estate limited partnerships.
It is important to realize that any sizable acquisition transaction, however structured, requires the assistance of more than business lawyers. Environmental matters, employee benefit plan and executive compensation considerations, government contracts, intellectual property rights, labor and employment matters, tax issues and regulatory concerns, as well as other specialized issues, are routinely encountered. More often than not these matters involve potentially significant liabilities which must be identified and analyzed early on, before the terms of the transaction become fixed. Our firm works with a network of the best attorneys in each of their respective fields to help ensure that the problem areas are identified and accounted for.
Real Estate
Our attorneys are experienced in a broad array of real estate transactions including; acquisitions, dispositions, financing, workouts and restructurings, land assemblage, development, investments by foreign entities, sale-leasebacks, leasing, taxation, condemnation, and land use. We demonstrate a thorough understanding of our clients' objectives by having each matter overseen by a partner who assembles an experienced and cost-effective team of lawyers and legal assistants to manage the project. By carefully crafting each team, we are able to maintain excellence and control costs. We work equally well with clients in the real estate industry and those whose business model deploys real estate as a key strategic asset. We collaborate regularly with other FHP practices, including Tax, asset protection and Securities, among others, to provide seamless, coordinated services to our clients, whatever the demands of the transaction.
Strategic Tax Planning
Every Partner possess an LL.M. degree in taxation, which enables our firm to move far beyond most law firms and CPA firms in the nation when it comes to strategic tax planning. Having assembled such a wide array of tax experience and knowledge, our firm is able to assess every transaction for any potential tax benefits and liabilities that may not be readily apparent.
Specifically, our attorneys utilize specialized and often complex structures that yield an extraordinary tax-advantaged position. These services usually relate to the practice areas of Estate Planning and Estate Engineering, and Corporate Mergers and Acquisitions or sales.
Special Needs Trusts
Circumstances in life frequently make it necessary to plan for the continued care of a dependent that will always need assistance. Government benefits are almost never enough but they are a resource that should not be ignored. Improper planning will jeopardize the health, care and welfare of our heirs with special needs. That is why a special needs trust should be used when planning for the future care of an heir with special needs. Don’t let fate, chance or misplaced confidence lull you away from making these important arrangements while you can. The difference you can make in the life of the heir is astounding and will forever be appreciated.
Guardianship
When your dependent, old or young, lacks the functionality necessary to manage their financial, health and general welfare, Guardianship is a process you should consider. Guardianship is the legal process through which one person gains the legal right to make decisions for another. It is an extremely serious power and obligation. Schedule a consultation so you can discuss all the issues surrounding Guardianship, including alternatives.