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Wealth transfer · valuation discounts

Form a Family Limited Partnership. Wealth transfer + valuation discounts.

A Family Limited Partnership (FLP) holds family investment assets in one entity. Parents (general partners) retain management; children (limited partners) own most economic interest. Gifts of limited partnership interests qualify for valuation discounts (typically 20-40% off NAV) due to lack of control and lack of marketability - moving wealth to the next generation more efficiently than direct gifts. We form the FLP, transfer assets, and coordinate with your estate planner.

All 50 states + DC 60-day money-back SOC 2 Type II
How it works

How we handle Family Limited Partnership, end-to-end.

A Family Limited Partnership (FLP) holds family investment assets in one entity.

1

Asset selection

FLP holds investment assets: marketable securities, real estate, business interests. Operating businesses with active management generally not put in FLPs (IRS scrutiny). Best assets: passive investments with longer-term hold.

2

Entity formation

FLP formed as a state-law limited partnership (LP). Parents are general partners (manage); children are limited partners (own economic interest). Operating agreement specifies management, distributions, transfer restrictions.

3

Asset transfer

Initial assets transferred to FLP in exchange for partnership interests. Parents receive small general partnership interest plus limited partnership interest; gifts to children eventually transfer LP interest.

4

Gift planning

Annual gifts of LP interests to children (or to dynasty trusts for grandchildren). Each gift qualifies for valuation discount. Annual gift exclusion ($18K/year/donee 2025) applies. Larger gifts use lifetime exclusion ($13.99M 2025).

What we'll set up for you

A clean handoff, in four steps.

You give us the basics. We handle the state, the IRS, and the compliance clock so you can focus on the business.

01 · Name + Brand

A name that's actually available.

Real-time check against the state register, USPTO trademark database, and matching domains.

02 · State filing

Filed with the Secretary of State.

We submit your Articles, pay the state fee on your behalf, and return the stamped certificate.

03 · Federal IDs

EIN + the right tax setup.

Federal Employer ID with the IRS, plus state tax accounts when your business needs them.

04 · Stay compliant

Registered Agent + deadline tracking.

Your agent on file in every state, with every renewal and annual report tracked in one calendar.

Pricing

Transparent family limited partnership pricing.

Government fees pass through at cost. No upsells.

FLP + valuation appraisal

$9999
Includes qualified appraisal.

FLP plus qualified appraisal of the discount applied to LP interests. Required documentation for gift tax filings. Appraisal by independent business valuation firm.

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Complete wealth transfer plan

$24999
FLP + GRAT + dynasty trust.

FLP plus Grantor Retained Annuity Trust (GRAT) plus dynasty trust for multi-generational wealth transfer. Coordinated with estate planning attorney. For high-net-worth families ($10M+ estates).

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FAQ

About the Family Limited Partnership (FLP) Service.

What is the FLP advantage?
Three main benefits: (1) centralized management of family investments, (2) valuation discounts on gifted LP interests (20-40% off NAV), (3) asset protection from creditors of limited partners. Combination makes wealth transfer more efficient than direct gifting.
How big do my assets need to be?
FLPs make sense above $1M-$3M in transferred assets. Below that, the formation cost and complexity outweigh the discount benefit. Above $10M, FLPs become almost standard estate-planning tools.
What can I put in an FLP?
Best for investment assets: marketable securities, real estate, business interests, life insurance policies. IRS scrutinizes operating businesses (active management) and primary residences (personal use). Best assets are passive.
Will the IRS challenge my FLP?
Yes, if not done properly. IRS routinely challenges FLPs missing: legitimate business purpose, observance of formalities (separate bank account, distributions, partnership meetings), reasonable management fees, qualified appraisal of discounts. Done right, very defensible.
Can I be both GP and LP?
Yes. Common structure: parents are GP (often through a small holding LLC) plus LP. Over time, parents gift LP interests to children, reducing parents' LP percentage. Parents retain GP control throughout.
What about gift tax?
Gifts of LP interests use the annual exclusion ($18K/donee 2025) and lifetime exclusion ($13.99M 2025). Discount-adjusted gifts use less of the exclusion than equivalent direct gifts, using the lifetime exclusion further.
Why File.Business

Premium compliance, no service-fee markup.

Trust you can verify

SOC 2 Type II audited platform. 220,000+ businesses served. 60-day money-back on service fees. State fees passed through at cost with no hidden markup. Explicit AUP on restricted industries.

A compliance partner, not a transaction

Most providers go quiet after checkout. We auto-track every annual report, registered agent renewal, and license deadline across your entities. The Business OS dashboard keeps your compliance score visible year-round.

Premium experience competitors cannot match

Premium positioning, transparent pricing, no service-fee markup on state or federal filings. Premium positioning, transparent pricing, no service-fee markup on state filings.

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