Establish PTC to maintain equity independence
The principle of independence of trust property is an important feature of trust and the basis for the flexible application of trust mechanisms in various fields. The founder of a family business uses trust to design the property rights of the family business, which can give the family business equity independence and avoid risks such as forced inheritance, division due to marriage, or execution due to debt, thereby achieving the purpose of protecting and inheriting the equity of the family business.
Use VISTA to divide and conquer your home and business
As mentioned above, PTC is established by family members, but if preservation arrangements are not made for the equity of PTC, the equity will still be at risk when the PTC shareholder dies, gets married, or becomes indebted. By holding PTC equity in the "VISTA Purpose Trust", on the one hand, the aforementioned risks can be avoided, and at the same time, it can lay a foundation for family and corporate governance.
Family business is a special form of business, and its greatest particularity is the widespread penetration of family influence in corporate governance. Family and business have different interests, rules, values and structures. A balanced approach to the two systems is the basis for maintaining healthy family relationships and the longevity of the business. Trusts can not only achieve equity independence in the ownership design of family businesses and prevent personal risks of family members from affecting the family business, but they can also lay the foundation for good governance of family businesses and families through the mechanisms of PTC and VISTA purpose trusts, helping the first generation to build a century-old business. foundation.