There are many reasons why you may want to review your current business structure. Owners who periodically review and reset their structure are best placed to exploit changing circumstances and new opportunities.
The structures required for a business throughout its business lifecycle can differ.
There are a wide spectrum of circumstances where reviewing and reorganising your business structure can help your business achieve:
a split of the business between owners
business sale or family succession
reduced tax liabilities
minimised risk
realignment of personal goals
greater profitability
greater efficiencies
Restructuring ensures that your assets and resources are performing to their best potential.
Restructuring enables you to re-organise the ownership, operational, capital, tax and legal aspects of your company to align your structure to your long-term goals and personal wealth objectives.
Restructuring should be considered every time your business prepares to or goes through a significant change or new phase in its life cycle.
Scenarios where you might consider restructuring activity include:
exit planning
family & multi-generation succession
owners wanting to go in different directions
acheiving tax efficiencies
ring-fencing risk
purchasing new assets
periods of fast growth
working capital improvement
Restructuring can take many forms and will depend on what you wish to achieve. The most common activity includes:
consolidating businesses into a group structure
establishing a new holding company
share reorganisation
demerging or splitting a group structure.
