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Business transfer: On to the next phase
The agricultural business transfer is a process of years. There is a lot that precedes and after the transfer the process is not yet completed. Thinking and arranging things on time can save a lot of trouble. Not least in the family, according to 4 specialists from acconâ– avm.
'In the agricultural sector, business succession is an important topic,' explains Colette Cohen, Senior Legal Adviser. 'It's not easy. The matter is complex. There are many different aspects to follow up. They also want to take good care of the family property. The emotional aspects, which also play an important role in the process, are sometimes underestimated.'
Fair distribution
Her colleague Grietje Frederiks, Tax Advice Specialist, nods in agreement: 'It often involves a lot of assets and the parents want a reasonable division between the business transferee - usually one of the children who is assigned to the company - and the other children. That can be tricky. The other children often have the feeling that they are getting tired of it. That is why a capital gain clause is often included. If the acquirer discontinues the business and sells it within the set term, he/she must repay part of the profits to them.'
Learn more
Read more on the acconâ– avm website.
Do you have questions? Talk to an acconâ– avm advisor about this subject or ask your question via the advice form† We are happy to guide you through this important and complicated process.
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