Wealthy families are creating their own PFTCs as a result of how easy they are to create and maintain in Nevada, as well as the favorable Nevada trust and tax laws.  Additionally, there is flexibility to maintain a full service family office in another state (i.e., the resident state of the family office).

The Summit Trust PFBTC application procedure is both simple and inexpensive ($9,950 application and establishment fee and approval generally within three to six weeks).  Additionally, the setup costs are very reasonable and the capital requirement low (i.e. $500,000).  In addition to the ease of creating and maintaining a Summit Trust PFBTC, there are several other compelling reasons to establish a PFBTC all of which are listed below:

PFBTCs take liability away from family members named individually as trustees.
A PFBTC can generally acquire D&O and E&O insurance for all family members who are owners and responsible for running the PFBTC.
Consolidates and provides continuity to family trust administration.
PFBTC has unlimited duration thus resolving possible trustee successor problems.
PFBTC is wholly owned by a Nevada Dynasty Trust for a duration of up to 365 years.  This is the equivalent of up to ten or twelve generations.
Enhanced family governance with Dynasty Trust/LLC/PFBTC structure.
Efficient - controls overhead and provides economies of scale.
PFBTCs are generally exempt from registration as investment advisors with the Securities and Exchange Commission and, through STC, may offer to the family members common trust funds and other pooling devices as well as provide other services which are exempt from registration under the Investment Company Act of 1940.  Through STC, PFBTC's have most all of the powers of a registered investment advisor.
Convenient and accessible.
The PFBTC generally provides for maximum deductibility of trust administration fees and expenses.  Investment management fees that are integral to the trust may generally be deducted by charging an overall trustee fee that includes the investment management fee.
Investment management fees are normally subject to the 2% Adjusted Gross Income limitation.  This may not be the case with a PFBTC.
Enhanced ability to properly administer and operate illiquid family assets in trust (i.e. LLC, FLPs, etc…).
PFBTC’s allow for better informed trust distribution and investment decisions.
Enables families to efficiently work with their own family office and all outside product advisors (i.e., investment, insurance, etc…).
Broad powers – a PFBTC is the only form a family office can take to provide fiduciary services directly to family members rather than just supporting the family’s individual trustees or unaffiliated corporate fiduciaries.