Private Trust Companies
A further level of control...
A Guernsey company can be incorporated with bespoke articles of incorporation to enable it to act as trustee to any number of family trusts. The use of multiple trusts can be useful where there are a wide range of assets which need to be ring-fenced either by the nature of the assets or by the intended beneficiaries of those assets.
So long as the Private Trust Company (PTC) is utilised for the provision of trustee to the trusts of only one family, does not receive remuneration for acting as trustee, and is under the administration of a licenced Guernsey fiduciary, it is possible to apply to the Guernsey Financial Services Commission for an exemption from the requirement to obtain a licence to act as trustee.
The shares in the PTC can be owned either by a Guernsey Purpose Trust or by a Guernsey Foundation; in both instances the purpose of the shareholding entity would be to own the shares in the PTC. An Enforcer or Guardian should be appointed to the Purpose Trust or Foundation, thus ensuring that the purpose of the shareholder is carried out. This could the Settlor or a trusted advisor, family member of friend, or could be a professional service provider if preferred.
The board of directors of the PTC can (subject to tax advice) include the Settlor, other family members and trusted advisors, along with professional directors provided by the licenced fiduciary supplying administration services to the PTC.
Newhaven Global can provide the establishment, management and administration of all of the entities required to create a PTC structure, providing solid and consistent corporate governance, and reliable family counsel with the ability to give guidance to the board of the PTC and to act as a forum for family members, ensuring that they are fully informed about their rights and obligations in respect of the family trusts.
If this is of interest to you, please do get in touch and a member of our team will be happy to help.