Asset protection is like an onion. You create layers and layers of protection so you are bullet-proof. There are many different ways to protect your assets. The best way to start is by using the Domestic Asset Protection Trust (DAPT) that exists in Utah, Alaska, and Nevada. Under Utah law, the section is found in Utah Code Annotated 25-6-14.
Other good advice:
It is not wise to enter into joint ventures without protection. You should never sign a personal guarantee for business purposes. Family Limited Partnerships (FLP) are another great tool.
The most valuable feature of the Family Limited Partnership is the ability to protect and shield assets from potential claims. The law is well-established that a creditor of a partner of the Partnership is not permitted to seize assets of the partnership to satisfy the debt.
Basically that means that business interests, savings, and investments may be safely insulated from potential liabilities in this manner.
This excellent result will not be accomplished if a creditor is able to obtain a charging order, foreclosure or seizure of your ownership interests in the FLP. Limited Partnership interests should be held by children, or trusts specifically designed for ownership purposes. This technique will preserve and may significantly enhance the available level of asset protection.
This is just the start. Depending on what you want to protect, it can be fairly simple or extremely complex. You should always get a statement from your accountant as to your solvency before engaging in asset protection strategies. Once you have that, get started.
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8833 S. Redwood Road, Suite C
West Jordan, Utah
84088 United States
Telephone: (801) 876-5875