For many reasons a shareholder may want to get his investment out of a company. Selecting the right procedure, shareholders can maximise their returns.

There are many reasons why a solvent company may no longer be needed, these may include:

  • A shareholder may want his money out of the business to and benefit from entrepreneurs relief
  • A shareholder may want to retire
  • A shareholder may die and the executors of his estate may want to realise his investment
  • There may have been a dispute between shareholders and it is decided to split the company into two or more
  • Two smaller companies may be more commercially viable than one
  • The company may have been set up as a special purpose vehicle SPV for a project that is now complete

We understand that the shareholders did not invest in a company for their return to disappear in taxes and professional fees.  We ensure that this does not happen by considering the tax situation and by charging competitive reasonable fees.

If the distribution is going to exceed £25,000 then the most effective procuedure for shareholders to benefit from entrepreneurs relief, is a Members Voluntary Arrangement, known as an MVL.

We have devised a number of services, which use MVL’s to cover all potential reasons for a solvent closure of a company.  All these services have been designed with an aim to minimise the amount of tax a shareholder will pay, keep costs to a level where they are considerably less than tax savings and to reduce the administrative and statutory burdens of the company secretary (in the case of clearing dormant subsidiaries from a balance sheet).

We also offer useful material that can help you understand your current situation:

Members Voluntary Liquidation (MVL)

When the shareholders of the solvent companies decide to close the company, if the distribution is likely to be more than £25,000, it is necessary to use the MVL procedure.

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Section 110 Demerger

When Companies are solvent and doing well, the ideal position to be in is where and Group Companies are organised in a tax efficient manner.

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Tidy your balance sheet

Clearing a group companies balance of un-necessary dormant companies will save a company time and money on statutory administrative duties and accountancy burden.

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