Family Investment Companies can shelter significant wealth within a tax-efficient and flexible corporate wrapper. They can offer tax savings on investments when compared with investing in personal names.

Dividends can generally be received within a corporate structure without an immediate tax charge, compared with income tax of up to circa 40% when received personally. They can also support IHT planning by helping to manage future growth and gifts of loan capital. The structure is flexible, allowing capital to be withdrawn through repayment of loans where appropriate. Asset protection can also be built in through the company’s articles and shareholders’ agreement.