What Are the Key Issues of Family Limited Partnerships?

When utilized correctly, Family Limited Partnerships can be very powerful estate planning and
asset protection planning tools. However there are a number of defects that can occur. The
following is a list of common defects in FLP structures, not in any particular order and certainly
not exhaustive: [Read more…]

What Are the Various Uses for Valuation?

Business valuations are critical for businesses of any size‚Äďand not just when a business is being bought or sold. Some common uses of valuations include: [Read more…]

Family Limited Partnership Discounts May Be at Risk in the Future

The IRS enacted in 1990 Internal Revenue Code Section 2704 to eliminate what was considered to be valuation abuses in family asset transfer transactions. The overall goal of this code section was to require the valuation analyst to ignore any provision in agreements that transferred a partnership interest or privately held stock interest to family members that would not be accepted by an unrelated third party in an arm’s length transaction. [Read more…]