Family Limited Partnerships- The Designer Label Solution

The Channel Islands are key jurisdictions for wealthy entrepreneurs who are keen to preserve their family wealth for future generations.

Many individuals think of the traditional trust as being the best way to manage their estate planning needs. However, in the Channel Islands, there is a growing client base from civil law jurisdictions unfamiliar with the trust concept launching alternative structures. Recent examples include foundations, private family funds and, increasingly, the Family Limited Partnership (FLP). The name implies that it would be ideally suited to the wealthy family but what is an FLP really and, in times of austerity, why is it that we are seeing an increase in demand for this more expensive "designer label" estate planning tool?