A Legacy Intact: safeguarding your family business in the event of divorce - Book - Page 84
A POLICY TH AT SE TS OUT THE EXPECTATIONS
T H AT A P P LY T O A L L S H A R E H O L D E R S I N A FA M I LY
BUSINESS CAN SERVE TO DE-PERSONALISE
SENSITIVE CONVERSATIONS AROUND SUBJECTS
LIKE PRE-NUPTIAL AGREEMENTS AND
INHERITANCE
The family office or the directors
It is also important to ensure that
of a family business might wish
there is a strategy established
to come up with a strategy for
in advance for dealing with any
discussing with the shareholders
sticking points or disputes which
the more sensitive issues outlined in
might arise from such policies given
this guide in the context of an overall
that some individual shareholders
policy for any family business. For
will not instinctively like the idea of
example, it might form part of the
some of the protective measures
family governance documentation
being asked of them. Ideally, any
that all shareholders are required
succession planning or governance
to enter into a form of pre-nuptial
documentation would demonstrate
agreement in advance of marriage.
a willingness on behalf of the relevant
generations to acknowledge the
This can create complexity if it
importance of such measures for
seeks to bind a third party who is not
the wider family and the business as
a shareholder, but can be included
a whole.
as a strong recommendation to the
family, together with keeping their
An additional question is whether a
Wills up to date (see page 91 ).
family policy ought to be established
in relation to shareholders’ spouses
If this was a policy introduced at
and civil partners and the extent
an early stage, it might render the
of their involvement in, knowledge
issue less personal and simply part
of and enjoyment of the family
of the forward planning for what is a
business and its successes.
dynastic family asset.
84
A LEGACY INTACT - PROTECTION
