As a founding technical advisor of FBC, PricewaterhouseCoopers (PwC), a multinational professional services network, offers our members the high touch of a small firm and the resources of an international powerhouse.
Within its highly sought after Private Company Services division, local experts are able to counsel and advise privates businesses on all aspects of tax liability. With the US recently enacting the most comprehensive tax reform in 30 years, it is important that family business executives work together with experts to understand tax issues, mitigate risk, and achieve short- and long-term goals.
PwC understands that executives are looking for guidance on what the impact of tax reform will be for their company. The uncertainty created by changes to the tax code underscores the importance modeling can have to help private companies. To that end, PwC employs modeling technology that can help organizations evaluate different scenarios for better tax planning. TRIM (Tax Reform Impact Modeling) provides a flexible and efficient way for companies to identify structural tax issues with significant financial impact, assess opportunities for tax planning and evaluate legislative proposals.
Locally, Mukti Patel, managing director in the Private Company Services division and a member of FBC’s Programs Committee, has been advising area family businesses for 28 years. We recently had a chance to chat with Mukti about the family business environment and how he is able to aid FBC members.
What is your favorite memory of a past FBC event? I’ve attended Generations and several family forums, but I’d have to say that our visit a few years ago to Sierra Nevada Brewing was my favorite. Of course, the tour, lunch and beverages were great, but it was the experience of camaraderie and networking – six hours away from the office! – and getting to know people on a deeper level that I’ll always appreciate.
What is the current business climate in our region?There have been quite a few mergers and acquisitions in public sector; there are similar opportunities with family businesses.
How can PwC help FBC members? Within PwC’s Private Company Services, we have a dedicated group of professionals that deal solely with privately held and family businesses. That’s our niche – we are a small firm within a large firm. We understand the dynamics of family businesses and offer advisory services for those looking to expand – either organically or through acquisitions. Especially for our ag clients, we have extensive expertise in audit, tax, advisory.
In your experience, what should family businesses be doing if they aren’t already? I think most family businesses are doing the rights things – establishing effective boards, talking about succession. More often than not, I encourage our clients to use professionals that are willing to work in concert with each other. It’s impossible for every family member to understand every part of the business, so trusted advisors that are able to grasp all aspects can be invaluable.
Why do you recommend FBC? FBC is organized and brings to the forefront issues that sometimes aren’t talked about. Members have the opportunity to meet with other family owned businesses to discuss topics that are relevant to their future growth and succession.