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Fair is not always equal

Why equal and fair are different decisions

The same appraised value may give children different cash, risk, control and waiting periods.

Insight046 minutes
01

Two equally valued assets may not be equal

An interest in an operating business requires management, may be illiquid and carries entrepreneurial risk. A cash portfolio is more accessible, while a home may be subject to a partner’s right and ongoing costs. The same number does not create the same outcome.

If one child works in the family company, that role can be separated from the economic interest. The family can discuss remuneration, voting, liquidity and equalisation instead of simply transferring identical percentages.

02

The family decision comes before the document

The notary can implement the chosen route, but should not have to guess what the family regards as fair. The family needs answers about partner protection, children’s readiness, earlier support, timing of receipt and acceptable restrictions.

A Family Objectives Brief does not fix the final structure. It makes the trade-offs visible and gives specialists a precise instruction.

Human outcome

Describe life after the event before choosing the document.

A partner's home, fairness between children and business continuity may require different solutions that must work together.

Family continuity
  1. 01Protection

    Housing and income

  2. 02Fairness

    Heirs' interests

  3. 03Continuity

    Roles and responsibility

Conclusion after the explanation

Fairness is discussed in layers: value, liquidity, control, risk and timing of receipt.

Signals

Review this if you recognise your situation

  • the family discusses only percentages
  • one child receives the business while another receives a promise of future equalisation
  • the partner and children understand access to the home and income differently

Next actions

What to do next

  1. 01describe the intended outcome for each person
  2. 02compare cash, control, risk and timing
  3. 03record the questions before meeting the notary

Apply it to your situation

Family questions before meeting the notary

A first draft of objectives, roles, fairness, liquidity and open questions for the notary’s brief.

Open the questionnaire

Professional review

Will and family continuity

A Family Objectives Brief and route comparison turn family decisions into a focused instruction for the notary.

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