Navigating Complex Succession Planning
for a Family Farm
for a Family Farm
Client Profile
A multi-generational family farm in Cheshire were facing significant changes. After many years, the parents were planning to retire. The farm operated under a partnership structure, and the transition involved transferring ownership to the next generation which was their son and wife while also restructuring financial arrangements with a new lender.
Challenges:
Ensuring the transfer of partnership interests and property assets without incurring any taxes.
Coordinating the timing of the transfer with the refinancing process to avoid delays.
Maintaining the farm’s operational continuity during the transition.
Brightshire's Approach:
Brightshire provided comprehensive advice on the tax implications of transferring the farm and partnership interests.
We worked closely with legal advisors to structure the transaction in a manner that ensure the transfer qualified for capital gains relief and for exemption from stamp duty land tax. Additionally, Brightshire assisted in aligning the transfer timeline with the lender’s requirements, ensuring a seamless transition
Outcome:
The farm successfully transferred ownership to their son and daughter in law without incurring any taxes, resulting in significant tax savings.
The refinancing process was completed on schedule, providing the necessary capital for future operations.
The farm continued its operations without interruption, preserving its legacy and financial stability.
"Brightshire's expertise was invaluable during our succession planning. Their strategic advice saved us from unexpected tax liabilities and ensured a smooth transition for our family farm."
Mr & Mrs Williamson