Reward Finance demonstrates flexibility by settling IHT bill to return pubs to family
Three of the east coast’s most famous pubs have returned to family ownership, following the death of popular local businessman Robert Tucker in December 2015, with help from Reward Finance.
Calvin Dexter Financial Solutions recently alerted Reward Finance about the problems faced by Robert’s children, Henry and Becky, who were unable to release the pubs from the executor until a large inheritance tax bill had been settled.
Reward Finance demonstrated its flexibility by providing a solution which ensured The Bay Hotel, The Fylingdales Inn and Ye Dolphin in Robin Hood’s Bay are now owned by Robert’s children, following the conclusion of the probate process. In addition, The Bridge Inn at Ruswarp has also returned to family ownership.
It has been a difficult couple of years for the family, it has taken a considerable amount of time to conclude probate on Robert’s will due to the inheritance tax issue as banks and many other funders were not willing to enter into such a transaction.
Both Henry and Becky are delighted that everything has now been concluded. Henry said:
“Our father Robert was really well known in the area and built up four extremely successful businesses by working closely with his valued and trusted tenants.
“Naturally we are both extremely proud to be taking over the mantle from our father. It is a huge responsibility but we are really looking forward to working with the excellent teams we have in place to build on the legacy provided by him.
“Our thanks go to all those who provided advice and help during the process, in particular Calvin Dexter and Reward Finance, both of whom quickly understood the position we were in, our solicitors Flint Bishop and accountants Watson Buckle.
“We are delighted that, with Reward’s help, the family can now concentrate on continuing running the great business our father created.”
Commenting on the deal Calvin Dexter said:
“When I was approached by Ian Gill of Watson Buckle, who was one of the executors of the estate, I quickly realised that a bespoke funding solution was required in order to pay the IHT liability, hence I approached Nick Smith to discuss providing the required finance. This was an unusual and interesting transaction to work on and I am delighted that we have managed to secure the future of these famous pubs.”
Nick Smith, sales and marketing director of Reward Finance had no hesitation in providing the funds to Henry and Becky, following Calvin Dexter’s approach. Nick said:
“The two of them have been left four very solid businesses but, as can often happen, the capital is tied up in the property which can present a problem when settling inheritance tax bills.
“Rather than selling assets to meet the bill we were able to provide the funds to them so they could pay the executors who then released the properties to them, as Robert Tucker wished.
“The repayments will be made through the successful businesses for the next few years before transferring the loan to a mainstream bank, once a trading history has been established.”
Also providing advice on the deal were Clarion Solicitors and Sanderson Weatherall.