Professional services firm improves tax efficiency

Case Study26th Aug 2020

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Our Client

A professional services LLP weighing the benefits of transferring their business to a limited company. 

Our Approach 

  • Met with the client to gather key financial information and details of current business ownership, growth aspirations and succession plans 
  • Prepared a financial projections model based on assumed trading levels and partners’ drawings 
  • Prepared detailed illustrations to compare tax savings available between continuation as an LLP and transferring to a limited company 
  • Presented a report and recommendations to the partners on the optimum route to incorporate for their business 
  • Prepared a detailed project plan capturing legal, financial and other commercial steps required to implement business transfer 
  • Project managed the transfer of the business for the client 
  • Handled all necessary accounting and tax reporting following the business transfer 

The Outcome 

  • Our client was able to make an informed decision with confidence, seeing the key commercial and tax considerations clearly, with our experts taking responsibility for the complexities 
  • Through moving to a more tax efficient business structure, tax savings helped to facilitate succession planning and allowed the client to accelerate plans to invest to grow the business 
  • Through using a project managed business transfer it allowed the client to focus on the business and avoid putting pressure on internal resource 

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