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Fresh Start Trust
Lesson #1 Checklist – Starting at the Beginning ***This condensed version of the main lesson is for review purposes only. For an in-depth explanation of each of the items listed here, please refer to the main PDF file or the MP3 audio version.
In this first lesson, we’re going to talk about: what actions you need to take to assure your home is protected from unscrupulous money grabbers and frivolous lawsuits. In this first lesson, we’re going to talk about: exactly what
a trust is and the major differences between the two basic
types. You will learn what perils might be ahead for you if you
don't take action now to protect what you have and what you
will have in the future.
We'll be making some important decisions with the
information from this first lesson. You'll be
learning the difference between owning your
Millions of Americans deserve a
second chance. If done right, they will be financially secure for the rest of their lives.
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Financial Success Institute. All rights reserved. www.financialsuccessinstitute.org
2
business versus retaining full control of it
although it is technically owned by a Fresh Start
Trust. There are a lot of different types of
trusts established for many different reasons.
You need to know specifically why a Fresh Start
Trust is designed the way it is if you want to
fully protect your business and other assets.
There are five important parts to any trust. When
you finish this first lesson, you will know the
differences. Once you have that information
you'll understand other important concepts that
go into creating your own Fresh Start Trust.
What you will learn is not based on legal theory.
Asset protection has been around for centuries.
The rich use it all of the time so that they are
not sued. These concepts have been tested in many
court cases and by putting your Fresh Start Trust
together following the step-by-step directions
you'll be given, yours will stand up in court if
need be.
By the end of this very first lesson on Fresh Start
Trusts, you will have the tools and knowledge you need
to take immediate action. You won't need to wait to
complete the entire eCourse. After this first lesson,
you'll sleep better knowing you no longer need to
worry about putting a bunch of hard work into a new
business just to lose it in a lawsuit.
For some, this
concept is difficult to understand but the rich
use it all
the time
You'll be ready to
start planning
your future as soon as you finish this first eClass
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Financial Success Institute. All rights reserved. www.financialsuccessinstitute.org
3
THIS eCLASS OBJECTIVE - Over the entire eCourse you'll be learning everything
you need to know about protecting all of your assets.
Both personal and business related. Al lot of people
are familiar with the concept of using trusts to
protect assets but very few understant the important
aspects of trusts that actually accomplish this. If
the trust is not created correctly it will not
accomplish its primary objective of protecting your
assets. A court will simply declare the trust
dissolvable to allow creditors access to the assets.
Correctly structuring your Fresh Start Trust is the
primary objective of this eCourse. Throughout the
modules, you will be given detailed instructions about
exactly what you need to do to accomplish this
important task. There will be variations depending on
the laws in your state. You will use the concepts and
instructions from this ecourse to work with an
attorney that specializes in the trust law of your
particular state.
The specific objective of this first module is to make
you familiar with the two primary differences in
trusts. The Fresh Start Trust is an irrevocable trust.
That is critical to asset protection. By the end of
this module you will understand the primary elements
of an irrevocable trust and the roles each one plays.
When it comes to
trusts, one size does
not fit all
You will need to
share what you learn with an attorney
specialized in setting up trusts
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Financial Success Institute. All rights reserved. www.financialsuccessinstitute.org
4
By the end of your first eclass, you will be prepared to begin
taking immediate action. Specifically, you’ll have the
following things in place…
Knowledge of why you want to take all the equity in
your business out of your name.
Each of the five important elements that go into a Fresh
Start Trust and the important role each of them has.
Grantor
Intention of the grantor (Trust document)
Trustee
Beneficiary
Trust subject matter
The big difference between revocable and irrevocable
trusts and why making the Fresh Start Trust irrevocable
makes all the difference from revocable trusts that offer
no protection from lawsuits.
What the big lenders are doing behind the scenes that
could be disastrous for you if your business becomes
successful and you don't have asset protection in place.
The knowledge and tools you need to become an
immediate action taker and be rewarded for being
proactive.
You will establish a business
owned not by you but by a Fresh
Start Trust
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Financial Success Institute. All rights reserved. www.financialsuccessinstitute.org
5
Major assets are always vulnerable to lawsuits. A great deal of
free information about asset protection planning can be found
on the internet. Most of it is simply wrong.
Exactly What a Trust Is
We hear the word Trust quite often in reference to protecting
assets and minimizing taxes, but what is a trust exactly and
how is it legally structured?
Keep in mind that we are speaking in general terms here
because of the many variations in trusts, state laws, and how
different courts view them.
General Description of a Trust There are four primary players or elements to a trust. They
are:
The Grantor
The Trustee
The Beneficiary
The Trust Subject Matter
The trust is a legal and separate
entity from all the others. Some people find it easier to
understand this concept by thinking of the trust as an
"artificial person".
Some will tell you that you need an
off- shore trust but
you don't
Although you will benefit
from the trust, you and it are
legally
separate
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Financial Success Institute. All rights reserved. www.financialsuccessinstitute.org
6
People set up trusts for a variety of reasons. The three main
reasons are to avoid an inheritance estate from having to go
through probate, to minimize taxes, and to protect assets.
The Fresh Start Trust eCourse primarily deals with asset
protection although it also touches on estate planning and
taxes where appropriate.
A trust is essentially a contract between the Grantor
(sometimes called a settlor) and beneficiary that is
administered by the trustee. The grantor initiates the trust by
drawing up the contract and placing specific assets inside the
trust. The contract is known as the "Trust Document" or "trust
agreement". It specifies the who, what, where, when, why,
and other conditions and terms for managing the assets.
As you can see, there is enormous variation between
individual trusts. This is definitely not a one-size-fits-all
concept.
The Trustee is an individual or law firm (many states allow it
to be any competent adult) that the grantor entrusts the
assets to. The trustee must follow the instructions established
in the trust document. Generally, the trustee is obligated to
manage the assets in the best interest of the beneficiaries.
State statutes may or may not address the duties of the
trustee. However, most of the law covering trustee's
requirements is found in state case law or court opinions.
You will not be the Grantor
that is key to asset
protection
Fresh Start Trust
Lesson #1 - Starting at the Beginning Checklist
© 2011 Fin