Transferring partnership or LLC interests can be relatively simple if there are no additional requirements in the business records.
- Interests in partnerships and LLCs are typically transferred by signing an Assignment of Interest stating that you are transferring the interest to the Trust. Be sure to give a copy to the other partners or LLC members!
- Check the partnership agreement or LLC operating agreement to see if there are any other restrictions or requirements for transfers.
- Be sure the partnership or LLC updates its records to reflect the Trust as the new owner of the interest, as described in the “How to Title Assets” article.
For corporate stock, transfers are generally easy if there are no additional requirements or restrictions.
- Check the corporate records to see if there are any restrictions or requirements for transfers.
- Contact the Secretary of the corporation to update the ownership records and issue new stock certificates. The Secretary may ask you to complete an Assignment of Stock or complete some other paperwork.
- Have the Secretary update ownership records and issue new stock certificates to reflect the Trust as the new owner of the interest, as described in the “How to title Assets” article.
This information is intended as a reference only. It is not legal advice nor intended to cover every possible situation. Please consult an attorney if you have specific questions. Some details for funding your Trust may change over time. For example, if the Trustee changes, that would likely affect how you would title assets held in the Trust.