How corporate wealth management services can help in your business’ financial security

Today’s business climate is both uncertain and highly competitive. Just running a business day-to-day is hard enough without worrying about the long-term.

Eventually, however, those long term issues come home to bite. If you haven’t planned everything carefully, it could be you, your employees or the business into which you’ve put so much that gets bitten. Corporate wealth management in London is even more important because those high taxes, rents, rates, transport and other costs will swiftly finish off any enterprise that hasn’t taken the right decisions at the right time.

Planning the financial security for your business, yourself and your workforce in advance protects everyone from avoidable long term losses and missed opportunities. Advice from a specialist in corporate wealth management in London will help you to plan for numerous complex eventualities including tax liabilities, corporate pensions, loss of critical personnel, partnership changes, loan recalls, share issues, changing employee entitlements, staff contracts, and maximising business value while minimising capital gains tax if you sell.

Pension benefits
Business owners and company directors are under an obligation to understand the pension auto-enrolment scheme. Although first introduced in 2012, the rules are likely to have changed since you first looked into it. New minimum contributions were set in April 2019.

Whenever rules change, businesses need to review their arrangements to ensure they’re investing in ways that deliver the best overall returns. For example, salary sacrifices can often improve pension prospects, with the welcome side-effect of reducing National Insurance contributions. Group pension plans can offset corporation tax while acting as an incentive for high calibre employees.

Tax benefits
There are many opportunities to strengthen personal and business security by seeking advice regarding corporate wealth management in London and elsewhere, but taxation strategies need constant review as circumstances change.

Pension contributions are a capital allowance opportunity that is often overlooked, and the potential to claim Research and Development tax relief is another. Once again, it is often possible to improve real long term income by reducing salary and awarding dividends instead.

Employee benefits
Arming employees with good advice helps you to attract and retain the very best. Capitalise on this by providing an online reward statement so they can see the benefits you are offering (especially if you’re proposing they limit their salaries to reduce taxation and increase their pension).

Other benefits you can offer which may also help the company’s position include private medical insurance and group life, income protection and critical illness insurance.

Shareholder considerations
Shareholders usually care passionately about the business, but if their interest is inherited, the new shareholder often may not. Shareholder protection plans avoid that situation by ensuring that other shareholders are able to buy any unwanted shares. Your advisor will help you calculate just the right amount of cover.

Your policies in all these different areas can interact with each other, opening both opportunities and pitfalls you are likely to miss. Almost any business may benefit from taking corporate wealth management advice.

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