Protecting of your asset is always being important but how to protect the asset? There comes the point of strategy. The oldest asset protection strategy is equity stripping or Equity Harvesting. When a person determine that he/she has the equity in the asset then without loosing any time they try to tie up the equity so that the creditors could not reach it easily.
The offshore asset protection planning involves the usage of offshore trusts and other entities. The planning normally raises the concern to the respect of tax issues and asset securities. The effective manner to address these concerns is to make certain that you are receiving the best counsel and advice form the expert of the particular field.
Equity stripping could be the great solution if done properly. It may sound likes odd but putting on debt could be the best wealth transfer plan as well as asset protection.
An ERP is designed in such way to secure business assets or equity in real estate from the possible future claim.
1. The real estate asset is often unprotected to a lawsuit. During the last decade there was significant amount of increase in the valuation of most of the properties and an important part of net worth has been shifted form the stock to real estate equity.
2. Other professionals and physicians have the additional value locked in their practice in the form of equipment and account receivable. The laws suit against the practice form the employees or the patient could uncover these assets to the risk of loss.
3. Most of the business owners may have patents, trademarks, equipment and inventory in the additional to account receivable. If these assets have valued then it is prudent and logical to protect them from the risk of the business.
Tags: Asset Protection, offshore companies, offshore company formation, offshore trust