At Evans Case, our attorneys integrate asset protection with broader estate planning services, including Estate Tax mitigation, Asset Management, and Estate Administration. Through tools like trusts, wills, and legal entities such as LLCs, we help our clients create robust plans that minimize risks and preserve wealth for future generations. If disputes arise, such as a Tax Controversy, our team is equipped to provide expert guidance, ensuring that your assets remain protected and your goals are not derailed.
Proactive planning is essential for effective asset protection, and at Evans Case, we are dedicated to crafting solutions tailored to your unique circumstances. Our Denver-based attorneys work closely with clients to design strategies that not only secure their assets but also optimize their financial position for the future. Contact us today to schedule a consultation and discover how our experienced team can help you protect what matters most while planning for a stable and prosperous future.
What Is Asset Protection?
Asset protection is a legal strategy used to protect personal and business assets from various risks, like lawsuits, creditor claims, and other financial obligations. The purpose of asset protection is to keep your wealth and assets safe despite any of these potential threats. There are a number of different strategies available to protect your assets. Establishing a trust, strategically structuring your business, and creating a crafty estate plan can help minimize your exposure to these risks and liabilities. Asset protection is all about taking a proactive approach that aims to preserve your wealth for generations to come.
Individuals in Denver may have a wide range of assets that they want to protect. For families and individuals, some of the most common assets they look to preserve are:
- Personal property
- Investment accounts
- Bank accounts
- Retirement funds
- Real estate
Business owners who are interested in limiting liability exposure will want to keep their personal assets separate from their business assets. There are a number of different ways that individuals, families, and businesses in Denver can protect their assets. Consulting with one of our asset protection attorneys at Evans Case will allow you to consider all of your options and create a plan that works for you. Our team is committed to helping individuals in Denver preserve their wealth and keep their valuable assets secure.
Asset protection is not just useful for businesses or those with high-value assets. Professionals in fields like medicine, law, and finance often face a higher risk of lawsuits. A single legal claim can be detrimental to your personal wealth and jeopardize your finances if you are in a high-risk field like these. If you have assets that you wish to pass down to future generations, you will want to protect that inheritance from creditors as well. Our attorneys are here to make sure that your assets are secure and safe from any potential claims.
Without a solid plan to protect your assets, you may risk losing your savings, investments, and even property in the event of creditor claims, lawsuits, divorce, or even unexpected health issues. A qualified asset protection attorney can help you structure your assets in a way that limits their liability to potential claims, helping you strengthen your financial security.
An effective asset protection plan usually involves at least one of a few common elements depending on your specific needs and goals. Some commonly seen tools in an effective asset protection plan include:
- Trusts: Individuals living in Colorado are able to protect their assets in a trust. Trusts are incredibly useful for those who wish to leave assets and protect their wealth for future generations. Denver residents can either consider a revocable trust, which can be revoked or altered during your lifetime, or an irrevocable trust, which offers greater protection against creditors. Trusts are a valuable tool for Denver individuals and families looking for a secure yet flexible option to protect their assets.
- Business Structures: Limited Liability Companies (LLCs) and other business entities often serve as a protective barrier that keeps your personal assets completely separate from any business liabilities. By establishing a separate business entity, Denver business owners can protect their personal assets and finances from their company.
- Exemptions: In Colorado, assets like retirement accounts are protected by law. The state also offers a “homestead exemption” that exempts a certain portion of your homestead from being seized to satisfy a debt or contract.
- Insurance Policies: Liability insurance provides an extra layer of security against potential claims by covering damages up to the limit in your policy.
Each of these tools offers its own set of unique advantages when it comes to asset protection. Working with an experienced Denver asset protection attorney like those at Evans Case will allow you to explore all of your options and create a plan that works best for you and your loved ones. Consider our attorneys for a proactive approach to your asset protection plan.
Our team is prepared to help create a long-term estate plan that aims to keep your assets safe and secure. Our mission is to help you achieve your financial goals and create a plan that fits your needs. Whether you are interested in protecting your personal savings, business interests, or your family’s inheritance, contact us today and see how our Denver firm can help make a difference.
Reducing Your Exposure to Risk
One of the foremost advantages of asset protection is its ability to limit your exposure to risk. The goal is to protect your wealth and assets from claims and liabilities by creating legal structures like trusts and
wills. By implementing these strategies, you can reduce your exposure to outside risk, like creditors. Consulting with one of our qualified asset protection attorneys will allow you to design a plan that not only preserves your assets but also minimizes risk.
There are a number of different strategies that you can implement to reduce your exposure to liabilities:
Protect Personal and Real Property
One of the best ways to reduce your exposure is by protecting personal and real property, like houses, vehicles and other valuable assets. One of the best ways to reduce your exposure is by protecting personal and real property, like houses, vehicles and other valuable assets. Assets like these often account for a significant portion of a person’s wealth and it’s important to keep them protected. Placing these assets into a trust is a terrific way to protect your assets from creditors.
An asset protection trust is a great way to keep your property protected. It is specifically designed to keep your assets protected from creditors. These trusts can be particularly useful for business owners or those in high-risk industries who may be subject to lawsuits. The trust will hold your assets so that in the event of a lawsuit, they remain completely protected and out of reach. These trusts can be fairly complicated and should be drafted with the help of an experienced asset protection attorney.
Another common choice for those looking to keep their assets protected is a
family limited partnership (FLP). This partnership structure allows family members to combine their assets and manage them under one entity. An FLP makes managing shared family assets much simpler while simultaneously providing greater protection from creditors. Rather than assets being owned by individual family members, they will be owned by the partnership instead. Families often include valuable assets like real estate and family-owned property in the partnership to protect them from outside claims.
Colorado’s homestead exemption also offers partial protection for a family or individual’s primary residence. A portion of the residence is protected from creditors by Colorado law so that they are not able to force the sale of the home in order to satisfy a debt. This is particularly helpful for families experiencing financial hardships or litigation. Married couples can also protect their assets by separating ownership between spouses. For instance, if one spouse owns a business and/or is at risk of being sued, the other spouse can hold the family home and other valuable assets in their name to protect them from creditors.
Trusts, partnerships, exemptions, and separate ownership all help to limit the risk of asset exposure. These protections do require careful and thorough planning, so working with an experienced asset protection attorney is highly recommended. Our team will be able to work with you to create a personalized strategy that meets your needs. Denver families and individuals can reduce their exposure to claims by taking proactive steps to protect their personal and real property.
Reducing Business Liability
Business owners can protect their personal assets from business-related claims and debts by establishing a legal entity such as a Limited Liability Company (LLC) or a corporation. These structures allow business owners to separate their personal assets from their business assets. This keeps personal assets like property, savings accounts, or investment accounts safe from claims against the business.
By creating an LLC or corporation, business owners can protect themselves from being held personally responsible for business liabilities.
Forming an LLC or Corporation
In an LLC, the business is considered a separate legal entity. In most cases, personal assets will be protected from any claims against the LLC, such as lawsuits or debts. Corporations also provide similar protection with a more formalized structure. This is generally useful for larger businesses or those seeking investment. Setting up an LLC or corporation is a great way for Denver business owners to focus on growing their business without having to worry about their personal finances being at risk.
Drafting Clear Contracts and Agreements
Having clear and concise contracts can help reduce business liability. It helps keep both parties protected by clearly outlining obligations, terms and conditions. A well-drafted contract helps prevent misunderstandings and disputes down the road. Our attorneys at Evans Case are able to create and review business contracts that provide you with extra security and meet all the legal requirements. A clear contract also reduces the chances of litigation by providing a reliable point of reference in the event of a disagreement. Clear contracts and agreements often help settle disputes amicably without the need for legal action.
Keeping Detailed Financial Records
By maintaining meticulous financial records, your business can remain legally and financially compliant and continue to operate efficiently. Keeping detailed records can be incredibly useful in the event of an audit, lawsuit, or any tax inquiry. Having accurate financial records handy provides evidence of responsible management practices. It will also help your business defend itself against false claims.
Business Liability Insurance
Liability insurance can cover your business from different risks like property damage, legal fees, and any medical costs associated with work-related incidents. It’s important for business owners to select a plan that aligns with your specific needs and risks of the business. For example, some business owners may be more interested in general liability insurance that covers physical injuries as opposed to professional liability insurance, which covers claims of negligence or misrepresentation. Business liability insurance can be incredibly valuable for business owners in high-risk industries.
Risk Management Practices
Denver business owners can implement proactive risk management strategies that aim to further reduce their liability exposure. Business owners can identify potential risks in their day-to-day operations and take steps to mitigate them. Risk management strategies can include employee training programs, workplace safety protocols, and regularly auditing business practices. Working with a legal or financial professional can also help you create a customized risk management plan that fits your business’s needs.
Combining legal structures, drafting clear contracts, and keeping sound records are all examples of effective ways Denver business owners can minimize their exposure to liability and protect their personal wealth. Implementing risk management practices and investing in comprehensive business liability insurance will also allow business to continue running smoothly without the need to worry about potential costly liabilities. Reducing liability is key for a business’s long-term success, protecting your personal assets, and keeping your finances secure.
Loss Mitigation
Loss mitigation is a proactive approach to managing financial risks and potential losses before they happen. By preparing for potential financial setbacks, individuals and businesses in Denver can protect their wealth and reduce the impact of any financial losses. Loss mitigation can involve insurance coverage, investment diversification, and a balanced approach to asset management to reduce exposure to financial risk.
- Insurance Coverage: There are multiple different policies available that can help protect against different risks, from property damage to professional errors. For instance, homeowners insurance protects property owners from damages in the event of natural disasters, theft, or other damage. Professional liability insurance, on the other hand, can protect business owners from claims against their business. Business owners can also benefit from general liability and workers’ compensation coverage. With a comprehensive insurance policy in place, business owners can place the financial burden on the insurance provider rather than jeopardizing their personal assets.
- Investment Diversification: Diversification involves spreading out your assets across multiple different investment types, including stocks, bonds, real estate, and mutual funds. By diversifying your investments rather than concentrating your wealth all in a single area, you can reduce the risk of financial loss caused by market volatility. If the stock market experiences a downturn, losses in stock investments may be offset by gains in bonds or real estate holdings. In times of economic uncertainty or instability, diversification and a balanced portfolio provide a cushion against significant losses.
- Maintaining Liquidity: Having liquid assets allows families, individuals and businesses to cover their immediate financial needs without having to compromise their investments. Having a portion of your assets in liquid form, such as cash or money market accounts, can help you manage unexpected expenses without disrupting your long-term financial plans.
By investing in comprehensive insurance, keeping a balanced portfolio, and developing a risk management plan, you can minimize the impact of unexpected financial losses. Our asset protection attorneys are able to provide valuable insight and guidance to help you create an effective loss mitigation strategy that meets your financial goals.
Asset Transfers
Denver residents can either partially or completely transfer assets to a family member, an irrevocable trust, or another legal structure to help limit their exposure to financial risks.
- Family Members: Transferring certain assets like real estate or other valuable items to family members will allow individuals to remove these assets from their estate. This effectively makes them untouchable in the event of a claim. This is particularly useful when transferring assets to a family member with a lower risk of exposure. It’s important to consider tax implications, such as gift taxes. All transfers should be compliant with Colorado tax laws to avoid unexpected financial consequences.
- Trusts: When transferring assets into an irrevocable trust, the grantor relinquishes all control to the designated trustee. The assets will be managed by the trustee and are no longer considered a piece of the grantor’s taxable estate, protecting them from creditors. Irrevocable trusts generally offer greater protection from lawsuits, claims, and estate taxes.
- Family Limited Partnerships (FLPs) and Limited Liability Companies (LLCs): An FLP is a legal entity that allows family members to hold ownership as partners while others act as general partners. By placing your assets into an FLP, you can maintain some control over your assets and protect them from creditors. Limited partners generally do not have direct control over these assets. Placing your assets into an LLC also provides liability protection. Both FLPs and LLCs are effective legal entities for managing family wealth and protecting your assets from claims.
- Transferring Assets as Gifts: Denver residents can gift assets to heirs during their lifetime, which allows them to reduce the size of their estate and lower estate taxes. By gifting assets and removing them from your estate, you are also further protected from creditor claims. The IRS allows annual exclusions for gifts under a certain amount. Denver individuals and families can transfer a specified amount to each recipient without incurring taxes, allowing them to smoothly transfer wealth, protect their assets, and avoid estate taxes.
By transferring ownership of your assets to family members, trusts, partnerships, or through gifting, you can protect your wealth and reduce your exposure to financial risks. Working with an attorney at Evans Case can help you come up with an effective asset protection plan that works for you and your beneficiaries.
Marital Property Planning
Marital property planning allows couples to protect both their personal and jointly held assets from potential claims and liabilities. Spouses can take proactive steps to secure their financial interests and ensure their assets are properly managed.
- Prenuptial Agreements: Our attorneys can assist with prenuptial agreements that outline each spouse’s responsibilities regarding assets, debts, and other financial obligations in the event of divorce. A prenup will allow each spouse to retain control over certain assets and will specify arrangements for handling things like student loans and credit card debts. A well-drafted prenuptial agreement should protect each spouse from the other’s financial obligations. They can be particularly useful when one spouse enters a marriage with significant assets, including family-owned businesses, real estate, investments, and more.
- Separate Ownership of Assets: Partners can designate certain assets under the ownership of one spouse to limit their vulnerability to external claims. For example, if one of the spouses owns a business or is in a high-risk field, they may consider placing valuable assets in the other spouse’s name to keep them protected in the event of a lawsuit.
Our team of attorneys at Evans Case is skilled in helping our clients find ways to reduce their exposure during asset protection planning. We work closely with our clients to come up with a plan that minimizes potential risks. Whether you are interested in establishing a trust, discussing different business structures, or investing in liability insurance, our attorneys will work to create a plan that works best for you and your family. It’s our mission to help Denver individuals, families, and businesses protect your assets and preserve your wealth. For more information about how our attorneys can help you minimize your exposure to risk, contact us today.
Asset Protection for High-Net-Worth Individuals and Families
High-net-worth individuals and families often face challenges protecting their assets due to the size and diversity of their financial holdings. Substantial wealth may expose you to greater potential risks and attract creditors. Individuals and families with significant assets may require skillful asset protection strategies to protect their wealth and preserve it for generations. Our attorneys understand the importance and the challenges involved with protecting highly valued assets. We are available to work closely with high-net-worth clients to develop tailored plans that protect your wealth from claims and reduce your tax liabilities. By utilizing a combination of advanced trusts, business entities, and estate planning strategies, our firm is able to offer valuable insight that effectively protects your assets.
Challenges with High-Net-Worth Asset Protection
Individuals with a high net-worth often have diverse asset portfolios containing real estate, investment accounts, business interests, and other personal property. While diversifying your portfolio comes with a great deal of advantages, it can also open you up to various risks like lawsuits and economic downturns.
Trusts, partnerships, and insurance policies are just a few of the tools used to limit exposure and deter creditors. Creditors aren’t the only ones threatening your assets. In some instances, families have internal disputes and disagreements during the asset distribution process. Our attorneys are able to help identify any potential vulnerabilities within your portfolio. We are here to help you assess risks and reduce your exposure to claims.
- Family Limited Partnerships: Family limited partnerships, or FLPs, and family trusts are two common tools used by high-net-worth families to manage their wealth and protect their assets. It also allows for a smooth transfer of assets from one generation to the next. In an FLP, family members hold limited interest in the partnership while somebody else acts as the general partner. The limited partners in an FLP have no control over the assets. Similarly, creditors will also have restricted access and will only be able to claim a partner’s distribution to the FLP rather than the assets themselves. Family Limited Partnerships often provide tax advantages when transferring assets.
- Family Trusts: Irrevocable trusts and dynasty trusts also offer greater asset protection and control over your assets. When assets are transferred into an irrevocable trust, they are no longer considered a part of your estate, which makes them inaccessible to creditors. A dynasty trust is a trust that is designed to last for multiple generations. These trusts offer high-net-worth individuals an opportunity to protect their wealth and confidently transfer assets to future generations.
Denver families and individuals with diverse investment portfolios that include stocks, bonds and real estate can work with an asset protection attorney to discuss structuring your investments for maximum protection. Our attorneys will work closely with you to design a plan that protects your wealth.
How Can Evans Case Help You?
Our attorneys have an extensive background in several areas of law and have been providing exceptional legal service to Denver residents for over 100 combined years. Not only are we able to help families, individuals, and businesses protect their wealth and assets, but we are also able to offer our clients our expertise in many other key areas of life and estate planning. Our firm also specializes in:
- Estate Planning: Our attorneys specialize in estate planning, providing our expertise in nearly every aspect of it. Our team can help you create or update your will to ensure it aligns with your needs and interests. We can also help establish multiple different types of trusts with the goal of protecting your assets and ensuring a smooth transfer of wealth from one generation to the next. We can provide valuable insight and assistance with living wills, powers of attorney, special needs trusts (SNTs) and more.
- Guardianships and Conservatorships: Our firm is dedicated to helping Denver families establish guardianships and conservatorships that help keep your loved ones protected. Whether you are looking to establish a guardianship for a minor or an incapacitated family member, we can help file petitions and even represent you in court.
- Elder Abuse: Evans Case stands strongly with victims of elder abuse and works tirelessly to fight for those who have suffered financial exploitation, physical abuse, or neglect at the hands of a caregiver or loved one. We are proud to help Denver families and elderly individuals seek the compensation that they deserve for the unfair treatment they may have received.
- Commercial Litigation: Our attorneys are here to provide cost-effective legal solutions to Denver businesses. With expert experience in contract disputes, employer defense, construction defects, real estate matters, and appeals, Evans Case offers comprehensive representation in both court and alternative dispute resolution.
- Probate: Whether you are the executor of a will or a beneficiary interested in contesting a will, our probate attorneys are here to help. Our team will help ensure that a deceased individual’s assets are properly distributed. We can also provide valuable legal assistance with all legal proceedings, help file the necessary paperwork, and resolve any disputes that may arise during the probate process.
- Trust Administration: Evans Case is available to guide you through the trust administration process. Trustees have a fiduciary responsibility to honor the wishes of the deceased, and our team can help with all aspects of trust administration. We will help you understand the terms of the trust, oversee the asset distribution, and handle any disputes or challenges.
- Prenuptial Agreements: Our team can help couples entering a marriage protect their assets and outline responsibilities regarding debts and other financial obligations in the event of a divorce. Our attorneys will help draft a prenup that is fair and practical for both parties.
Our attorneys have decades of experience providing legal support to individuals and families in Denver. For more information about how our team can help in asset protection or any other important parts of life, contact us today.
Contact Evans Case Today for Your Asset Protection Needs
Asset protection is a large part of securing your financial future and providing for future generations. Working with an experienced asset protection attorney at Evans Case provides you with access to the expertise, insight, and resources needed to preserve your wealth. Whether you’re beginning your asset protection journey or looking to improve your current strategy, our team is here to guide you every step of the way.
Contact Evans Case today to schedule a consultation and learn more about how we can help with all of your asset protection needs. Let us provide you with the tools and support to create a secure financial future for yourself, your family, and your business.
