1. High cost: Family trusts usually need to hire professional lawyers, accountants and other related professionals to ensure the legitimacy and effectiveness of the trust, which will generate considerable costs.
2. Operational risk: the establishment and management of family trust requires professional knowledge and experience. If there are problems in the operation of the trust, it may lead to the loss of trust property.
3. Lack of flexibility and operability: Once the family trust is established, the rights and interests of family members will be restricted to a certain extent, so there may be more rules restrictions and operational difficulties in practice.
4. Risk of inheritance transfer: the use of family trust for inheritance planning can not completely avoid the occurrence of inheritance disputes, and sometimes it may lead to legal disputes.
5. It can be regulated by national laws: Although family trusts can reduce the tax burden to a certain extent, the rules and systems for trusts in some countries may change and there are regulatory risks.
It is worth noting that these disadvantages are not absolute, and whether it is suitable to use family trust needs to be weighed according to the specific situation. If in doubt, it is recommended to consult a professional legal adviser or financial adviser.