Restructuring and diversifying your business

New ventures and acquisitions need to be carefully assessed and structured if they are to succeed.

An advisor who can provide support as your business embarks on change could be crucial to the future of your business. We can help you to defend your market share against business disruptors and continue to deliver growth by diversifying, innovating and investing in new technology.

Business considerations

 

How we can help

With diversification comes opportunity and risk. New ventures and acquisitions need to be carefully assessed and structured if they are to succeed. Non-core activities may need to be divested to allow a focus on growth. Our corporate finance and tax teams work closely together to ensure any such ventures are structured to enable the maximum benefit to accrue to the business.

 
  • Supply chain reviews.
  • Corporate group simplification.
  • VAT advice.
  • Business separations/demergers.
  • Acquisition advice and due diligence.
  • Business sales advice.
  • Property acquisitions and disposals.
  • VAT recovery on deal costs.
  • Rollover and holdover reliefs.
  • Aligning employee benefits and incentives.

Owner and employee considerations

Not everyone likes change. Bringing your employees along for the journey is crucial in delivering a successful strategy when diversification or re-structure are in play. Aligning their interests with the success of future ventures and ensuring incoming employees are appropriately engaged can be the difference between success and failure.

 

Risk and compliance

How we can help

Any re-structuring, whether purely internal, or looking to acquire or divest of operations, will likely bring with it a raft of tax issues which need to be carefully managed. From getting advanced clearance from HMRC through to dealing with an enquiries and tax investigations/disputes, we have specialist teams who stand ready to support you and the business evolves.

 
  • HMRC clearances and adjudications.
  • Tax investigations and dispute resolution.
  • Corporate Criminal Offence – preventing the facilitation of tax evasion.

International considerations

Owner or employee considerations

  • Global mobility and management strategy.
  • Overseas incentives.
 

Risk and compliance

  • Global business and tax strategy.
  • International compliance advice.

City view

Case study

Possible restructure of financial services business as a result of Brexit

The client is a financial services business with operations including a sales company in London. The client was concerned that post-Brexit it may not be able to provide financial services from the UK to customers in the EU, or that it may not be able to do so on favourable terms. Our work was to assess the feasibility of alternative locations in the EU for their sales company should it be necessary for the client to restructure their business.

What help did they require?

Assessment of the tax and VAT positions, for specific locations, that would arise should they restructure to use an EU, instead of UK sales company. VAT is a significant cost to them owing to them operating in the financial services sector so the client wanted particular focus on the local VAT rules to ensure that additional or unexpected costs would not arise.

How did we help them?

Our advice allowed the client to compare and contrast the tax, VAT and other business factors of alternative EU Member State locations that could be chosen should they decide to restructure and transfer operations out of the UK Company.

What did this mean for the client?

A clear understanding of the tax, VAT and other factors associated with the prospective EU Member State locations to enable them to make an informed decision on how to respond should Brexit threaten the viability of their business as currently structured.