For many business owners, one of the biggest concerns is protecting the assets they’ve worked hard to build and planning for what happens to the business in the future. Trusts can be a powerful tool to address both these issues, helping safeguard your wealth and create a clear succession path for your business.

What is a trust and why use one?

A trust is a legal arrangement where assets are held by one party (the trustee) for the benefit of others (the beneficiaries). This structure separates ownership from control, giving you flexibility in managing your assets and deciding who benefits and when.

For business owners, trusts can protect valuable assets like shares, property, or investment portfolios from risks such as creditor claims, relationship property disputes, or unexpected events.

Protecting assets through a trust

By placing business assets into a trust, you can help shield them from personal risks or legal claims. For example, if the business faces financial difficulties or legal action, the assets held in trust may have stronger protection. This safeguard can provide peace of mind that your family’s financial future won’t be wiped out by unforeseen problems.

Supporting succession planning

Succession planning is about ensuring your business and assets pass smoothly to the next generation or chosen beneficiaries. Trusts help by:

• Allowing you to set clear rules for how and when beneficiaries receive assets, which can avoid disputes

• Enabling ongoing management of business assets even if you’re no longer involved, ensuring continuity

• Providing flexibility to support complex family or business structures

With a trust, you can tailor arrangements to fit your unique goals, whether that means gradually handing over control or protecting the business during transitions.

Considerations for business owners

While trusts offer many benefits, setting one up is a significant decision. It’s important to consider:

• Choosing the right trustee(s) to manage the trust responsibly

• Keeping the trust structure compliant with tax and legal obligations

• Reviewing and updating trust documents regularly to reflect changes in your business or family

Working with experienced legal advisors is key to creating a trust that truly supports your asset protection and succession goals.

For business owners, trusts can be an invaluable tool to protect what you’ve built and plan confidently for the future. They bring clarity, control, and security to both asset management and succession.

At Owen Culliney Law, we help business owners design and implement trust structures tailored to their specific needs—giving peace of mind today and certainty for tomorrow.