Getting financial affairs into a strong position will be a top priority for many British farm businesses following the confirmation of changes to inheritance tax. But knowing where to start isn’t always straightforward.
Our top tips for preparing for these discussions with your solicitor or financial adviser are your handy starting point. They cover some of the common issues you may wish to consider and documents you may need to get the most out of a meeting with your professional adviser.
However, each situation will be unique, so your professional adviser will be able to discuss your specific situation with you in more detail and run through what is needed to consider your situation properly.
And of course, for legal reasons, none of the information on this page should be considered as legal or financial advice from the NFU.
Before you start your search
Think about what you want to achieve from the meeting. Is it tax efficiency, succession planning or something else? It sometimes helps if you can have these statements prepared:
- By the end of our meeting, I want to...
- The problem I have is…
It is also a good idea to have a written list of questions and concerns you would like to discuss in advance and save these somewhere so you don’t lose them.
Think about planning timelines
When do you need your affairs in order by? Over what time period do you need any changes to happen?
Be prepared for open and honest conversations with professional advisers, business partners and your family.
Addressing difficult topics now will often reduce problems further down the line and ensure that everyone understands what the long-term plans are.
Legal checks
Before you start looking for professional advice, it’s worth taking our legal health check service with one of our panel firms of solicitors – it’s free for NFU members and will give you some initial observations and recommendations – NFU Legal Health Check Service – NFUonline.
If you subscribe to the NFU Legal Assistance Scheme, you may be entitled to a contribution towards your legal costs in reviewing documents or, indeed, having documents drafted.
When it comes to finding a solicitor the Law Society has a find a solicitor page – Find a Solicitor | The Law Society.
Look for firms with an agricultural specialism rather than a general wills and probate firm as agriculture is such a specialist area. Other specialisms to consider are tax planning, estate planning and inheritance.
If you’ve got a recommendation from trusted family members or friends that is also well worth an initial enquiry.
If you’re an NFU member you can start with our panel and get specialist advice at discount rates – NFU Legal Panel – NFUonline.
If you’ve got an accountant, it may be helpful if they join some of the tax planning meetings you have, and make sure you keep them in the loop from the start.
Prepare for your meeting
It’s important you have all your recent relevant financial information to hand.
Have your bank statements to hand, plus details of any investment portfolio, if you have one.
You also need your property or asset documents. This could be a list:
- agricultural assets and non-agricultural assets
- title deeds
- recent property valuations
- details of the entire property portfolio, including agricultural land, farmhouses and any residential property lettings.
Other key documents to have to hand include:
- Previous Tax Returns (particularly the last 2-5 years)
- Estate documents – Wills, Trusts, or any prior estate planning documents
- Business records:
- Company eg, Articles of Association, Shareholder Agreements, company accounts, incorporation and share documents from any Family Investment Company
- Partnerships eg, original Partnership Agreements, copies of accounts
- Family tree eg. details of spouses, children (both inside and outside of the farming business)
- ID documentation – passport, driving licence and separate proof of address
- Details of any life insurance
- Details of your accountant
Legal help from the NFU
This page contains general information only and does not constitute legal or professional advice. While every reasonable effort has been made to ensure accuracy, no representation is made as to its correctness or completeness and no responsibility or liability is assumed for errors or omissions. Anyone considering entering into a long-term land management agreement should take independent advice before signing the agreement.