There is an immediate opportunity for people considering gifting closely-held operating companies and family limited partnerships:
“Current Global Economic and Credit Crisis”
- Can support lower value conclusions in front of the IRS
- Operating businesses, marketable securities, and real estate worth less based on current business climate (less demand, no credit to fund business operations and acquisitions)
- Get closely-held business and real estate appraisals done sooner rather than later to support reduced values
- Can support greater discounts for lack of control and lack of marketability for minority (non-controlling) interests
– Credit crunch, difficult for consumers and businesses to get loans, pay bills
– Lack of affordable consumer credit reduces consumer spending and, as a result, weakens our economy
– Public marketplace is disruptive, reflected in reduced pricing (lower values) for some of America’s strongest companies
– Significant job losses and unemployment at high levels
– If public companies are severely impacted, what about closely-held businesses?
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