Family foundation in Poland – legal, tax and organizational support
Are you wondering whether it is worth establishing a family foundation?
We advise family business owners who are faced with the question: how do I effectively secure my life’s achievements and ensure the continuation of the business after I am gone? The introduction of the family foundation into the Polish legal order in May 2023 created completely new opportunities for property and business succession. In response to growing demand, we offer a comprehensive service for family foundations – from the idea to the establishment of the foundation to ongoing advice and optimisation of operations.
What is a family foundation and who can benefit from it?
A family foundation is a modern legal tool that enables effective property management and succession planning. It is a legal person to which the founder contributes property (e.g. shares, real estate, securities) and then determines the rules for its use – both by family members and other designated persons. Such persons are called beneficiaries of the foundation.
The institution of a family foundation is particularly useful for:
Family business owners planning to pass the business on to the next generation
Complex families (e.g. from previous relationships) who need clear and flexible rules for managing assets
Entrepreneurs wishing to protect their private and business assets
Persons planning a long-term strategy for payments and benefits to beneficiaries, without a direct transfer of ownership
Family foundation – how can we help?
We offer full support at every stage of the family foundation’s operation:
Strategic analysis and foundation concept
We help determine whether a foundation is the right solution and design its structure in line with the founder’s goals
Establishing a family foundation
We prepare comprehensive documentation, design the statute, support registration in the court and the National Register of Family Foundations. We help through the entire process related to establishing a foundation
Accounting and formal services
We provide bookkeeping, preparation of reports, and records of benefits – in accordance with applicable regulations
Legal and tax advice
We help with interpretations, optimize the structure of benefits and support activities in accordance with the Family Foundations Act.
Revision and reorganization of existing foundations
We help improve the structure of foundations, change the statute and streamline operations in response to the needs of the founder and beneficiaries.
Compliance and audits
We verify compliance with regulations, analyse risks and help implement control procedures. We also support clients in the foundation winding-downd procedure, if necessary
Family Foundation
Learn how we can help your business
Family foundation consulting – the key benefits for TGC law firm clients
Peace of mind in succession – no chaos, transparent rules for transferring the company and assets to the beneficiaries.
Asset protection – a family foundation protects assets against division, claims and destabilization.
Flexible benefits for loved ones – without the need to transfer ownership.
Stability of company management – maintaining control and business continuity.
Tax preferences – favourable tax rules and exemptions for immediate family.
Legal certainty – support of an experienced team at every stage of the foundation’s operation.
Types of family foundations
Although each family foundation is unique, practice shows that there are several basic approaches to its structure and goals:
Succession foundation – transferring the company
It is used for the orderly transfer of shares in a family business. Its main purpose is to ensure the continuity of business operations, often with the involvement of a founder or professional managers.
For whom: owners of active family businesses with plans to hand over the reins to the younger generation or external managers.
Property foundation – securing the family
Primarily focused on protecting property and paying benefits to specific individuals (e.g. children, grandchildren, disabled people). It can function as a „private social institution.”
For whom: individuals with significant private assets who are no longer conducting operational activities.
Mixed foundation – business and family welfare
It combines the succession and social functions. It allows both the maintenance of the family business structure and the payment of benefits to beneficiaries.
For whom: active entrepreneurs planning long-term succession and providing funds to loved ones.
Investment foundation – asset management
It focuses on increasing wealth through investments (e.g. real estate, securities, VC funds). Often created as an investment vehicle with a clearly defined risk profile.
For whom: experienced investors or people who want to professionally manage a portfolio of family assets.
Foundation for patchwork or international families
Adapted to a complicated family structure – with ex-spouses, children from different relationships, residents in different countries. Requires particularly careful design of the statute and rules for payments.
For whom: people with an unusual family structure and the need for clear regulation of access to property.
Family foundation – Frequently Asked Questions (Q&A)
What is succession and how to prepare for it?
Is a family foundation only a solution for exceptionally large companies?
Can I retain influence over the foundation’s decisions during my lifetime?
How is the taxation of benefits?
What if the foundation is already operating but is not fulfilling its role?
Is it possible to dissolve a family foundation if it does not fulfil its function?
Is a family foundation for you? Check out:
Do you want to protect your assets?
Are you thinking about succession?
Do you want to avoid family conflicts after your death?
Do you care about favourable taxation of the assets transferred to the beneficiaries?
Do you want to support your loved ones but remain in control?
Want to learn more? Let’s talk.
If you are considering a family foundation or want to improve the operation of an existing one, please contact us. Our team of lawyers, tax advisors and accountants will ensure that your foundation operates effectively and in accordance with its intention. Your assets and your company deserve a plan that will last for generations.
Poznaj nasze usługi
TGC Corporate Lawyers
ul. Wronia 10
00-840 Warszawa
Polska
+48 22 295 33 00
contact@tgc.eu
NIP: 525-22-71-480, KRS: 0000167447,
REGON: 01551820200000. Sąd Rejonowy dla
m.st. Warszawy, XII Wydział Gospodarczy
