Enter your family and business info. Select the trust structures that work for your family and customize your documents. Review with a qualified attorney in our network.
Step 2
Valuation
Our partner firm values your stock and Promissory sees to the preparation of your Form 709, so you have the records you need for the IRS and M&A due diligence.
Step 3
Fund and activate
Conveniently sign and notarize documents online, transfer equity. Done.
Step 4
Ongoing support
Your trusts are working—saving taxes and building wealth. As your company scales from $10M to $50M to $500M or more, your trusts grow with it. Promissory handles all the maintenance while you build.
Case Study
How Two Co-Founders Protected $13.9M Using QSBS Trust Planning
A QSBS trust holds Qualified Small Business Stock in an irrevocable trust structure to help founders and early shareholders preserve and multiply capital gains exclusions under IRS Section 1202.
How much additional exclusion can QSBS trusts provide?
QSBS eligible trusts can allow you to capture an additional $10 million to $15 million in exclusions per beneficiary at exit, depending on your situation and applicable rules.
How do QSBS trusts multiply the QSBS exclusion?
By placing shares into properly structured trusts for different beneficiaries, you can create multiple capital gains exclusion buckets under Section 1202, potentially excluding tens of millions in gains at exit.
How do I set up a QSBS trust with Promissory?
With Promissory, you answer a short guided questionnaire to create an irrevocable trust, have the document reviewed by an independent estate attorney, and establish custody with a Nevada fiduciary.
What services does Promissory provide for trust management and compliance?
We manage trust formation through ongoing administration, obtain your trust EIN, provide custody with a Nevada trustee, perform audit defensible valuations, and handle required IRS reporting and fiduciary documentation.
Where will my trust be governed and how are state taxes handled?
Trusts are established with a Nevada-based professional trustee to provide asset protection and access to Nevada trust law, while state tax treatment depends on the residency of the beneficiaries.
Do you handle tax reporting such as Form 709 when transferring stock into the trust?
Yes. Promissory includes an audit defensible gift and estate valuation and handles required IRS reporting, including Form 709 where applicable.
Who should consider using QSBS trusts?
Founders and early shareholders seeking to maximize QSBS exclusions, support estate and wealth transfer goals, and reduce tax at exit should consider QSBS trusts.
How long does it take to create and implement a trust with Promissory?
Our platform is designed so you can create, sign, and place the trust into custody in weeks rather than months. Your trusts can be completed within 24 hours. Valuation typically takes 3-4 days. Moving quickly you can complete everything in 1 week.
Protect your equity. Maximize your outcome.
The decisions you make now determine what you keep.
