What would be the best way for us to set up the BIC Trust so that my three business partners and I can receive 25% of our company’s profits each, in equal annual disbursements?
This can be done in several ways. From one perspective, you can know that it is not necessary to figure all this out before you obtain your trust. Once you are a paid trust client, you have carte blanche unlimited private consulting with our trust writer and the rest of us at BIC on many more details in your trust setup, arrangements, layering, structuring, operations, estate engineering, financial planning, and deal making.
Nevertheless, suffice it to say for now, the recipients of the disbursements can either be made beneficiaries, or play no role whatsoever in the trust itself, other than contractors. The trust can contract with outside parties and do deals with them without making them trust beneficiaries. The choice of making them beneficiaries might be favored if paying them is the main reason, or one of the main reasons, for setting the trust up . . . and if it is anticipated that the distributions to them will continue for a long enough period – – and will constitute a large enough percentage of the trust’s assets – – that it would make sense to dignify them with the title of trust beneficiaries. It is your choice.
Getting into greater details than this would be better addressed to your BIC trust writer, after you have become a paid trust client.