As the owner of shares in your business, your focus is probably on working with your fellow shareholders to make the business successful.  The world is an uncertain place however, and should something untoward happen to you, would your beneficiaries share the same goals for the business?

Your fellow shareholders may have to work with partners who have little or no interest in the business and your beneficiaries could find themselves in the unfortunate position of owning shares which nobody is prepared to buy.

As always, effective planning is key to ensure situations like this don’t arise.

We will identify your requirements and discuss potential solutions that will provide your fellow shareholders with the means to purchase your shares and allow your beneficiaries to realise the market value of your shareholding.

This is known as share purchase assurance and represents one element of succession planning that deals with the purchase and sale of shares following the death of a shareholder.

It’s an arrangement that ensures that the surviving directors can receive the deceased’s shares in order to continue the business without involvement from external or inexperienced shareholders. Additionally, the deceased’s estate receives a cash sum for the value of those shares.

Deciding whether share purchase is actually required – including how it should be structured – is fundamental to the process. We will help you make that decision.

Please note that this area of advice will necessitate the referral to a service that is separate and distinct to those offered by St. James’s Place.

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