How BR Gives Your Clients Control and Access to Their Capital

Control and access

For financial advisers, it can be a challenge trying to find the right inheritance tax (IHT) solutions which are most suitable for their clients’ needs.

There is currently a vast misunderstanding in financial services. The common belief is that estate planning solutions only involve setting up trusts or gifting inheritance for their clients.

However, not every client is the same. Some require a solution that is fast, flexible and keeps the client in control of their capital. Luckily, that’s where Business Relief (BR) can be a viable option.

While traditional solutions, such as gifts and trusts, may work for some, clients must give up control or access to their capital for it to qualify for IHT relief.

One of the more effective IHT solutions is Business Relief (BR). This is a piece of Government legislation, offering IHT relief. BR provides clients with flexibility and capital growth, without capital falling outside of their estate.

Investing in assets that qualify for BR – such as British forestry, hotels and residential developments, or stocks on the AiM Index – will fully relieve any IHT liability after just two years, providing they are held at the time of death.

In contrast, gifts and trusts take seven years before they qualify for IHT relief.

This will not work for advisers who have clients whose financial circumstances are likely to change as they grow older. BR has the advantages of speed, control, and an income stream to bequeath to their heirs.

Click here to learn more about our range of BR qualifying services.