How to increase your value and buy or sell your business Mike Cooper Tax Partner.
-
Upload
hilda-chapman -
Category
Documents
-
view
223 -
download
2
Transcript of How to increase your value and buy or sell your business Mike Cooper Tax Partner.
![Page 1: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/1.jpg)
How to increase your value and buy or sell your businessMike Cooper
Tax Partner
![Page 2: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/2.jpg)
cvdfk.com
Overview
2
Share v asset Structures ERPlanning points Types of consideration
Employment taxes Warranty & indemnities
Post sale planning Inheritance tax Tax returns Tax efficient investments
Pre-sale
The deal process
Post sale
![Page 3: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/3.jpg)
cvdfk.com
Share v Asset Sale
3
Single taxation
Share sale
CGT @ 10% - 28%
Double taxation
Asset sale
28% - 47%
![Page 4: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/4.jpg)
cvdfk.com
Securing the 10% Tax Rate!
Entrepreneurs’ Relief (ER) reduces the capital gains tax rate down to 10%. The main qualifying conditions are
4
10% TAX RATEAll conditions satisfied for >
12 months
Employee or officer
5% shares & voting rights
Trading Company
Maximum individual lifetime entitlement to ER of £10million! Share options – A way around the 5% voting rule
![Page 5: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/5.jpg)
cvdfk.com
Structuring – Property or Investments
5
Shareholders ShareholdersShareholders
Property TradeProperty AND
Trade
Cheapest to implement
Most tax efficient
Can sell property for minimal taxCan sell trade for 10%
![Page 6: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/6.jpg)
cvdfk.com
Sellers Planning
6
Extracting surplus funds in advance Use of pensions Claiming reliefs
R&D tax relief
Capital allowances
Share options – Tying in key employees for low tax cost Split of consideration – cash / loan notes / shares Emigration
![Page 7: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/7.jpg)
cvdfk.com
Buyers Planning
7
Buyers Planning
Financing
Structure Warranties
IHT
Shareholders
Reliefs
Due Dilligence
![Page 8: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/8.jpg)
cvdfk.com
Post sale – compliance and planning
8
Tax protection/ wealth management
IHT Planning
![Page 9: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/9.jpg)
cvdfk.com
Key Contact
9
@cvdfk
Mike CooperHead of Tax
+44 (0)7976 709 910 [email protected]
Your nearest officeChantrey Vellacott DFK LLPRussell Square House10-12 Russell SquareLondonWC1B 5LF
![Page 10: How to increase your value and buy or sell your business Mike Cooper Tax Partner.](https://reader036.fdocuments.in/reader036/viewer/2022062314/56649de45503460f94adc4bf/html5/thumbnails/10.jpg)
© Matthew Arnold & Baldwin LLP, 2014. All rights reserved.
How to increase your value & buyor sell your business
Emma Cameron presenting on 23 September 2014