EOTs – Employee Ownership Trusts –  continue to be a popular succession planningoption with more than 2,250 businesses  acrossthe UK now owned by their employees.

Put simply, EOTs let you transfer control of your businessto your staff, helping safeguard their longer-term future. They’re taxefficient too because as long as fairly straightforward conditions are met,  then selling the company’s shares to the trustshould be free of capital gains tax.

You should be aware though, that EOTs aren’t  designed for a quick sale. And there can beother issues such as what happens if the trustees want to sell the business toa third party or if a vendor shareholder would like to stay on as a EOT trustee?

EOTs involve complex tax issues and HMRC clearances plusyou’ll need to look at how  thebusiness’s purchase is being financed. At Jerroms Miller Specialist Tax, wehave wide  experience of guidingbusinesses through the process – ensuring transfer to an EOT works for you andyour employees.