Why liquidate before the UK general election?
6 June 2024A guide for tax advisers by James Cowper Kreston. The UK general election on 4 July 2024 could bring significant changes to the tax regime..
Turnaround, Restructuring & Insolvency (TRI)
Guidance
Recent solutions
Pre-pack administration of a technology business
Discussed insolvency options with the directors and recommended a pre-pack administration to save the business value, IP rights and staff jobs.
Year: 2024
Location: Southern England
Outcome:
- Sale of the business and assets. Preservation of 17 jobs and likely return to unsecured creditors.
Assisting multiple entities to wind up solvently ahead of a general election
We are helping multiple clients plan a solvent winding up addressing their concerns that there may be a less favourable tax regime should there be a change in government.
Year: 2024
Location: Across the UK
Outcome:
- Multiple distributions to shareholders
Appointment of administrators over 300,000 sq. ft of modern workspaces
Appointed to realise the lenders interest in the property.
Year: 2024
Location: Glasgow
Outcome:
- Purchaser identified and sales and negotiations ongoing
Advice to a potential acquirer of a business out of administration
Helping them formulate an attractive offer and understand the likely hurdles that they would need to address if they were successful in their bid. Giving the potential purchaser an insight into the administrator’s thought process in evaluating their offer.
Year: 2024
Location: Southern England
Outcome:
- Client advised appropriately
Board advice to three unrelated technology sector companies
Reviewing the solvency position of the companies whilst they are seeking to raise additional finance. Advising the boards on the tipping point between solvency and insolvency and the implications for the directors regarding personal financial risk of trading on.
Year: 2024
Location: Oxford
Outcome:
- Ongoing
Options Review for lender
For a major commercial property lender where they have lent to a sizeable group with advances to multiple companies within that group.
Year: 2024
Location: Multi-site
Outcome:
- Ongoing
Options Review
A review of the solvency position of the entity and turnaround strategies.
Year: 2023
Location: Southern England
Outcome:
- Restoration of solvency
Pre-pack Administration sale to an independent third party
Pre-pack sale to an independent third party preserving the employment of circa 100 members of staff.
Year: 2023
Location: Southern England
Outcome:
- Preservation of jobs and return to creditors ongoing
Solvent Liquidation
Solvent liquidation extraction of shareholder wealth in a tax efficient manner.
Year: 2023
Location: West Sussex
Outcome:
- Return to shareholder circa £50,000
Solvent Liquidation of 8 entities within the group
This was an exercise to simplify the corporate structure and reduce administrative burden and cost for a large group.
Year: 2023
Location: London
Outcome:
- Ongoing