Business Owner Wealth Development Program



Mr & Mrs Client were in their mid-fifties when we contacted them. Their manufacturing business had been good to them over the years but now they were seriously contemplating retirement BUT could they afford to retire, could they sell their business, would they have enough income...........etc

Client Concerns & Issues

  • The clients required clarification on current pension & tax issues 
  • Their affairs were somewhat disorganised 
  • There was an Inheritance Tax (IHT) liability of £1.5m 
  • The clients were unclear as to how much they would need to fund their retirement 
  • An income of £50,000 net of tax was required to supplement drawings from the business 
  • Mrs Owner required clarity as to how much they could spend sensibly each year 

Our Initial Recommendations & Action

  1. Simplified & consolidated investments
  2. Developed an individual investment strategy
  3. Using a cashflow analysis we calculated: 
  4. The lump sum capital required to fund retirement expenditure & lifestyle
    • How much could be gifted to reduce Inheritance Tax (IHT)
    • We arranged for the re-drafting of their Wills using special Trusts – immediately saving £110,000 IHT
  5. Established Insured Trust placing over £2m outside estate
  6. Began discussions with fellow Director of business regarding a vendor financed Management Buyout

The Results so far

  • Eliminated IHT liability 
  • Created tax efficient income stream matched to their lifestyle 
  • Simplified the management & reporting of their investments – now they understood what they had 
  • Reduced the portfolio risk & reward characteristics – again which our clients now understood 
  • Peace of mind in knowing they & their children & grandchildren would fully benefit from the fruits of their labours 

This document is provided as a working example and for information purposes only, this should not be construed as financial or investment advice.