Many entrepreneurs would like to minimize their tax bill and take advantage of income splitting and, in the event of the sale of their company's shares, the capital gains exemption. In collaboration with the accountant and tax specialist, the establishment of a more elaborate corporate structure, including the creation of a family trust and a management corporation, allows for minimizing tax impacts, particularly those upon death, and protecting assets from potential lawsuits.

The corporate reorganization can also be done within the framework of an estate freeze, which allows for the integration of succession within the company. Succession can be either from the family or from a key employee who can be integrated into the company through share ownership, an enticing incentive.

In collaboration with your tax specialist, based on their tax memo, we will proceed to draft all the legal documentation related to the implementation of this new corporate structure. This type of reorganization can include incorporating management companies, modifying the share capital of existing companies, rolling or exchanging shares, issuing new shares, merging companies, and establishing a family trust.

If you do not have a tax specialist, we can refer you to one who will analyze your case and evaluate your needs in this area in order to optimize your organization's fiscal and financial situation.

The minute books of the involved companies will need to be fully updated at the same time to reflect their current situation.

The shareholders' agreement of the company will need to be reviewed based on these organizational changes. Since the shareholders of the company are often trusts, management companies, and individuals who have retained control shares after the reorganization, rules governing these various entities must be implemented to ensure proper administration of the company and anticipate situations of share purchase and sale, such as death, incapacity, and discord.

A review of your wills and powers of attorney for incapacity is also opportune on this occasion to ensure that all your legal documentation is properly coordinated. Special attention will be given to the company to ensure its longevity.

The notaries of NOTAIRE-DIRECT INC. will accompany you throughout these changes in your company.