Have a look at my thread
What engine ?
Get a cylinder compression test done.
Get a coolant pressure test done.
change the boots on the plugs. (bad rubber here can cause the white smoke, although this wouldn't explain coolant loss).
If you're going to do it DIY get hold of a bentley.
For the M50 you'll need (at least) the following tools:
Cam locking tool, Cam timing tool, thin torx and torx set