Home – New Forums Starting your journey Family Trust for startup selling product, seeking investment etc. Reply To: Family Trust for startup selling product, seeking investment etc.

#1178557
Caticlan
Member
  • Total posts: 9
Up
0
::

VicNick,

For tax reasons a discretionary trust will distribute all its profits every year. However, the beneficiaries do not have to take the physical cash out of the trust. Therefore they create a loan with the trust which can be repaid when there maybe excess cash reserves. This is why the trusts are popular with family groups.