Your Business With James Caan 2017 - 82
Are you serious
The right financial advice can transform an SME's prospects. BLG Wealth
can help you achieve your short- and long-term goals
LG Wealth has invested many
years in understanding the key
challenges facing small and
medium-sized enterprises, whether
they be start-ups or mature, wellestablished companies. This has helped
us appreciate what SMEs need from
professional advisers and, of more
importance, how any advice should
be delivered. We don't profess to have
all the answers but we do believe that,
together with our business partners,
we come very close. Here are some of
the areas where BLG Wealth can help:
Our philosophy is simply to build and develop
long-term relationships with clients who are
genuinely serious about their financial and
business futures. At the heart of this approach
are quarterly meetings with our clients.
The commercial world moves at a fast pace
and it's important to react quickly when the
need arises. It's no longer good practice to wait
12 months to review where a business has been
and we've seen real benefits from meeting
regularly to help plan where a business is going.
Our clients expect us to inform, update, alert,
educate, listen, recommend, teach, mentor,
understand and grow with their businesses.
The more frequently we are in communication,
the better positioned we are to deliver on
their requirements. The continuing success of
our philosophy, measured over many years, is
evidenced by our excellent client retention.
A shareholder agreement is an essential - yet
often overlooked - agreement protecting the
interests of all shareholders of a business.
In essence, a shareholder agreement:
Identifies shareholders' rights and obligations
Governs the sales of shares in the company
Sets out how the company is to be managed
Aims to support the rights of any
Proposes a framework for the making
of key decisions.
It's a sad fact that on occasions relatives and
good friends fall out. In worst-case scenarios,
you could end up with nothing or, at the very
least, an expensive and acrimonious legal battle.
Shareholder agreements are simple to set up
and can save a lot of potential aggravation in
the future. Disagreements can happen at any
time, so these should be arranged sooner
rather than later.
Shareholder protection ensures that in the event
of one of the shareholders dying or suffering a
serious illness during their working lives, all
remaining shareholders receive a lump sum
from the proceeds of an insurance policy to
buy out that person's shares.
This provides the means to ensure ongoing
control of the company. Without shareholder
protection, there's a strong likelihood that
on the death or serious illness of an existing
shareholder, their shares will end up with a third
party who has little interest or knowledge of
the company. This could, of course, have serious
consequences for the future of the business.
BLG Wealth works closely with clients to
ensure they have:
The right level of protection
Policies placed in trust if necessary (this
may occur for many reasons, including the
mitigation of any inheritance tax liability)
The necessary cross option agreements
Policy premiums that will be equalised
to demonstrate the arrangement has been
set up on a commercial basis
Up-to-date wills and lasting powers
TAX R E L I E F D O N ' T M I S S O U T
In our experience, many corporate clients only apply for a small
number of the possible tax reliefs and exemptions to which they're
entitled. These might include any of the following:
1 Enterprise Investment Scheme
(EIS) and Seed Enterprise Investment
Scheme (SEIS) - tax relief for investors
in small or start-up businesses.
2 Enterprise Management
Incentive (EMI) - tax relief for
employees engaging with employer
3 Research & Development
Credits - cash payments and/or
reduction in corporation tax for
investing in innovation.
4 Patent Box Relief - if you pay
corporation tax and develop patented
products, you could qualify for a
reduction in tax rate on your profits.
5 Capital allowances - tax relief for
expenditure on capital equipment.
6 Holding company exemptions
- owing to the number of possible
exemptions, refer to an adviser.
7 Corporate loss - losses may be carried
forward to mitigate corporation tax.
8 Holdover and rollover relief -
provide for the postponement of tax
on the disposal of business assets.
9 Business property - provides relief
from inheritance tax (IHT) on the
transfer of relevant business assets.
10 Entrepreneurs' Relief - you may be
able to pay less capital gains tax on
disposal of all or part of your business.