Estate Tax Planning & Family Limited Partnerships

The general partner(s) manage the assets contributed to the family limited partnership. Limited partners generally have no rights with respect to the assets held by the FLP. The lack of Marketability and the fractional ownership of the limited partnership interests held by the limited partners are two of the well-established reduction principles that diminish the value of the taxable estate. The discounts allowed by the restricted rights provides for the reduction in the value of the assets held by each limited partner, but also increases the amount of annual tax-free gifting that can be attained. The current high marginal estate tax rates allow for wise and prudent planning which is necessary to preserve the family’s wealth.

Centralized Management of Family Assets
When using a corporation as the general partner, the general partner controls all of the assets in the partnership. This corporation can also employ family members and others. It will call meeting, conduct training sessions and facilitate wealth management. With a corporate general partner, continuity must be ensured even in the event of the husband and wife.

Minimize Probate
By using an FLP, the time and expense of probating an estate can be greatly reduced. When a Living Trust is also used, then there is no probate. Living Wills are not public record and therefore no one but those involved in the family know of its contents.

Cure Title Defects
The procedure for transferring assets to an FLP can help with the discovery of title defects. This can be a significant issue for real estate assets if not discovered and corrected.

Palm Oil Plantation Business in Indonesia: How to Get Started

Palm Oil Plantations are a very lucrative agricultural business for agriculture entrepreneurs and companies to invest in. The potential in this business makes palm oil one of the largest revenue streams in Indonesia. After the President of Indonesia Mr. Joko Widodo (Jokowi) imposed a moratorium on the land available for plantations, the value of palm oil plantations has increased dramatically.

The process of acquisition or take over of plantations, especially oil palm plantations, is not as easy as imagined. There are a number of important factors that are key to success in the take-over of oil palm plantations that must be followed and implemented based on the principle of gentlement-agreement by each party.

Considering that transactions in the property sector, especially the take-over of oil palm plantations, contain very high capital business and involve many parties as mediators, the government in this case the Minister of Trade of the Republic of Indonesia feels the need to make rules to safeguard the rights and obligations of the parties involved through the Minister of Trade Regulation of the Republic of Indonesia no. 33 / M-DAG / PER / 8/2008 concerning Brokerage Company of Property Trade.

However, even though there are regulations governing trade transactions, it is not uncommon for a transaction to be too convoluted and less cooperative between mediators, so that the take-over process actually becomes unsuccessful or completely void.

The following are steps to acquire a palm oil plantation in Indonesia

First, contact a trusted brokerage firm and ask if they have palm oil plantations to sell. Do not contact individual brokers as they may not have the complete detail on specific plantations, and generally they are not clear with the actual relation to the available plantation. Such cases often occur in Indonesia and you should make sure that the plantations have no legal issues.

Second, ask the brokerage firm to do the due diligence so that you avoid future legal issues in Indonesia. A trusted brokerage firm must have qualified survey tools such as drone mapping and a reliable agronomist / business analyst team. Thus, there is a match between the plantation legal documentation and the actual physical plantation.

Third, make sure the selling price of the plantation is fair. Almost all individual brokers markup the original price up to 30%. You should be careful in doing business with these types of individual brokers because of this type of lack of transparency. In this case you need to appoint a trusted agent to represent you in the take-over process. A typical commission fee of 1-3% should be expected from the plantation selling side.

Pop Music Producer Roadblocks to Success

Wannabe producers always have at least one fatal flaw. Now the flaw varies from person to person, but they basically fall under 3 categories. So to lets list out the rules to keep you in the game.

People Skills

Lets start with the granddaddy. This is a people biz hombre. You deal with people all the time, whether it be label execs, engineers, or the talent you are producing.

Because of this critical point your people skills will make or break your career. This may seem overrated if you come from the school of thought that says, “if I get a single it will be enough.” Honestly, maybe. But your success is so much more likely if you treat people in a way that makes them feel good.

That is what brings Rick Ruben success in this industry. That man is unquestionably the biggest thing on the scene. He has hits in all genres from Rap, to Country and people want to work with the cat because he makes them feel good, and alive.

Do you do this?

If not maybe its time to learn. Go get a copy of How To Win Friends And Influence People by Dale Carnegie. It could be a career changing book

Overshadowing

The second mistake that many produces make is to cast a looming shadow over an entire project. This is usually because the producer is a control freak. This type of producer has their fingerprints all over an album, and the artist feels suffocated by their presence.

Music is supposed to be an outflow of a vision. A song comes to life out of an artist, if they feel stifled by an overbearing oppressive regime you are not going to get the best production out of them. That is the truth.

Now, that does not mean that a good producer cannot point out flaws and errors, it just means that it should be done in a way that makes the talent want to change, not hole up and die.

Work on allowing the artist to breathe. Give them space to be an artist, but yet keep the project moving forward. Its tough, but hey that’s your job.

Limited Chops

The last area that hang up wannabe producers is a limited pallet of chops. This shows up in the inability to get the sounds, beats, or vocal takes because of lack of knowledge. A know-it-all attitude is a sure way to shoot yourself in the foot.

Breakdancing: The Roots of The Street Dance

Breakdancing is the street dancing which began around 1969. Most people will agree that the superstar James Brown began the whole thing with a dance called the “Good Foot”. James Brown was a real innovator and his dancing was something to behold. He did things with his feet that would give most of us a couple of broken legs!

Simultaneously in the ghetto, what is known as the “dance battle” became very popular and in many cases replaced gangster warfare as a method to end disputes. Breakdancing lent itself very well to the dance battle and the Good Foot was a perfect base for breakdancing.

Street dancers adopted the Good Foot which, for a short period, became known as the B-Boy and then breakdancing. Back then the dance moves were a lot different to the kind of breaking we see today. There were no popular, documented moves such as the headspin or the windmill. The dancers simply used their feet and nothing else. Some would argue that this “old style breaking” is more complicated than the kind of dancing we see these days.

Some of the floor work improvised back then was fantastically complex. If you go to a modern breakdancing competition you won’t see many of the old school moves but you will see a lot of gymnastics. Impressive though this is, there are those that think breakdancing has lost its roots a little. On the other side of the coin you have people saying that it’s just an evolution.

As a way to solve street battles and gang violence it was inspired. You were finding that amazingly, the gangs were using breakdancing instead of fighting. The breakdancing “battle” took on a world of its own. Of course there were still fights and inevitably sometimes a sore loser in a breaking battle would resort to violence.

Out of all this, breakdancing crews were formed. The members of a crew would practice and dance together. This is when the first very basic breakdancing choreography came about. One crew would invent a move which would inspire an opposing crew to go one better. For some of these guys breakdancing was literally the difference between life and death. They were very dedicated to what they were doing.

Just as all these new breakdancing crews were bursting onto the scene a guy called Afrika Bambaataa embraced the genre. Afrika Bambaataa is a legendary figure in the hip hop world. He was largely responsible for bringing breakdancing into the general public’s consciousness. He got to know all the crews and encouraged them to develop what they were doing. Bambaataa’s “Zulu Kings” breakdancing crew became a force to be reckoned with, winning many battles.

Since then breakdancing has continually progressed and more and more very talented dancers were bringing their skills into the arena. There were new moves being invented by the week and it wasn’t long before we had headspins, windmills, backspins and all the other high energy, acrobatic moves we see these days.

The “Rock Steady Crew” were one of the groups to pioneer this new school breaking. These guys along with Charles Ahearn who made the seminal hip hop movie “Wild Style” were to bring breakdancing fully up to date and the dancing phenomenon became much more popular. There was no stopping the onward march of the break dance.

Nowadays breakdancing influences a lot of the choreographed dance routines which are an integral part of a modern pop record release. You have young kids coming up who are really into it and the genre is experiencing something of a renaissance. There’s no doubt about it, breakdancing is here to stay and if you want more info a quick search on the Internet will turn up thousands of references to this modern art form.

Shedding A Light on Green Bonds

The Government is aiming for a greener economy. Businesses and organizations are trying to support their production through green resources. Green economy, green bonds, green business and going green has become the current anthem worldwide! We know what green economy and green business mean but as I wasn’t aware of ‘green bonds’ initially, same will be the case with many of you. So, today with the help of this article, let’s gain an understanding of the term.

Green bonds: In simple language, these are the bonds issued by the Government and are tax-free. These bonds are used for underdeveloped localities mostly by municipalities or federally qualified organizations. The purpose of these bonds is to finance projects which are aimed at achieving energy efficiency, protection of aquatic and terrestrial species, curbing pollution, managing water quality and quantity and clean transportation, to name a few. Due to the tax-free status, purchasing this bond accounts for a lucrative investment when compared to a taxable bond. This tax-exempt status acts as a financial incentive to handle social issues such as preserving energy sources and climate change.

Qualifying for a green bond requires:

1. The building is at least 20 acres in the size
2. The project will receive a minimum of $5 million from the state or the municipality
3. A minimum of 75% of the building is registered for Leadership in Energy and Environmental Design (LEED, a rating system developed to measure the environmental impact of the building) certification.

Certain benefits of green bonds are:

Reducing the cost of the project: These bonds are an excellent system of saving a large amount of capital to support environmental investment. Ideally suited for large-scale green projects such as solar and wind development which require capital investments prior to revenues and which generate modest revenue over a long time-period.

Investor demands: Due to the increasing awareness for a green financial market, there is a constant demand of socially responsible investment projects. Owing to this scenario, investors are expressing strong interest in purchasing of green bonds. While retail investors seek investment through their brokers and fund managers, institutional investors use these bonds to handle social, economic and Government mandates. Before green bonds came into the picture, it was a struggle to address these mandates with fixed income tools. This is the reason why these bonds have been successful in attracting new investors thereby providing a new platform for future issuances.

Building brand value: As the major provider of these bonds are the Government, they strike the chance and brand themselves as innovative and dedicated to keeping pace with the green projects.

Leadership: Talking about the future, green bond issuers are the leaders of the world. With their active participation, they can encourage municipalities to participate and create a reputation for monetary innovation. This will make way for upcoming projects in financing environmental projects.

Sharing the time when efforts are put-in to preserve the environment, green bonds are an altogether new opportunity for investors and issuers. Apart from the above-mentioned benefits, green bonds are known for several other advantages over other financing options, some of which are:

Providing a medium to access sustainable investments in a fixed income market in familiar and low-risk surroundings.

Allowing the municipalities to develop a public-private partnership to speed-up the process of energy efficiency and technological advancement.