Proper Entity Planning can not only protect one's nonexempt assets from lawsuit creditors, but can also provide a logical structure for holding title to different kinds of assets and different kinds of enterprises.
For example, placing royalty and overriding royalty interests inside of a properly formed Texas limited liability company is not only a logical place to put such assets together, but it also provides asset protection from lawsuit creditors. Re-titling such assets inside of an entity makes passage of ownership of those assets to one’s heirs, much more easy and much more manageable.
It is much easier to leave each of three children a one- third interest in a limited liability company, which company holds title to assets, rather than give those specific properties to the children, one-third each, in their individual names. If those were oil and gas interests, it would require execution of new division orders with each family succession. Passing ownership to one’s children, housed in a limited liability company, also allows one to select who would manage and control the company, and thus its assets. Entity Planning can save your family time and money-come in for a free review of your asset composition, and get a recommendation of how you might, not only, asset protect your assets, but also make passage to your heirs more workable.
Protecting you and your family against life’s uncertainties is what we are all about, let us assist you in building a barrier from lawsuit predators, give us a call today.