29 Nov 5TH GENERATION FAMILY SUCCESSION PLANNING CALLS ON RSP TO NEGOTIATE

Case Study Example $15.0m

By Ian Robinson

For 130 years, a deeply entrenched and respected family banked with one bank.  The stoic pride that embraces such an enduring relationship can only be attuned to the culture of Australian farmers.  130 years of farming captures every capitulated adverse event a history book could scribe.  Floods, famine, war, depression, droughts, fire, price crashes, disease, they saw it all.

The fifth generation buy out of siblings increased the debt load to maintain the portfolio of properties.  This generation also came with a balanced business mindset whereby corporate governance of decision making was a matrix around what was good for the business and family.

Robinson Sewell Partners was engaged to provide an independent balanced approach to their banking.  What became evident out of the process was that the encumbered bank was all about the bank first and client second.  The winning bank provide a novel fresh approach, a client centric package of service, product design, longevity considerations.  The client refinanced on this basis whilst saving $100,000 per annuum for the business (albeit this was not the only winning factor).