Goldmann and Sons PLC have carefully selected firms who can help secure a bespoke solution for all those wanting to buy or sell shares
With a share sale you can sell the whole legal entity that is your business – the complete package of assets and liabilities. The new owner will effectively step into your shoes. It is done by you transferring all of your shares in the business over to the buyer. The transaction is between the buyer and you. The buyer makes payment to your personal account. Once you’ve sold the shares you’ll no longer have any ownership of any part of the business; though it is sometimes agreed, by both the buyer and seller, for the seller to continue as a director for the handing over period.
When selling shares the seller is usually able to take advantage of Entrepreneurs’ Relief to remove part or all of the tax liability he would otherwise have.
Peace of Mind
A share sale is the simplest and cleanest sale from the seller’s point of view. Subject to any deal he’s done with the buyer to provide some limited period or support / handover, the seller is free. He’s completely out of the business.
Where the seller takes part of his price in shares of the acquiring company he can “rollover” or defer some of the tax he’s otherwise liable to pay on the gains he has made.
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Benefits of a Share Sale from the buyer’s point of view:
If there are accumulated losses in the company, those losses can usually (though not always) be carried forward to be written off against future corporation tax liabilities.
Title in everything rests with the company, not the owners, and by acquiring shares the buyer gets (clean) title to everything that’s in the company name.
There is No Break to the Business
The business continues without interruption as customers transfer over seamlessly, and relationships with suppliers, banks etc., transfer over smoothly and don’t need to be renegotiated.
Scope with Employment Protection
There is some scope to change employees’ terms of contract or dismiss employees, as TUPE generally does not apply. TUPE = Transfer of Undertakings (Protection of Employment) Regulations 2006.
We understand that you may be wary about a share sale, but at Goldmann and Sons PLC, you can trust that we will ensure you are introduced to a professional firm that offers the best transaction tailored to your demands, in the most timely and efficient manner.