Corporate simplification, group reorganisation, dividend planning and intercompany rationalisations
Corporate simplification, group reorganisation, dividend planning and intercompany rationa
A complex group structure brings with it personal risk for the directors, unnecessary costs, operational inefficiencies and an increased risk of trapped capital. Have you considered streamlining your legal entity structure by eliminating surplus entities, to help deliver annual cost savings, efficiencies and reduced risk for the directors?
Distributable reserves requirements in the UK are complex and can often be overlooked when you’re focussed on the commercial drivers for a transaction. This can result in unlawful transactions, for which directors are personally liable, or dividend traps across the group. How confident are you of the distributable reserves positions of the entities within your group, and the lawfulness of proposed transactions?
How much time each month do you spend reconciling intercompany balances and considering the recoverability of those accounts? Have you thought about the benefits of rationalising those balances?