Pete Miller (The Miller Partnership) answers a query on whether entrepreneurs’ relief will be available when an industrial design company is sold in the future.
Question
Our client is a successful industrial design company. It is likely to be sold in the next few years and our client is keen to ensure that entrepreneurs’ relief will be available when he sells. His main concerns are that the company holds some shares and has large surplus cash balances simply because the shareholders do not need to draw any more cash. Some of the shares held are strategic investments; for example they hold 3% of the share capital of a company that manufactures and sells one of my client’s more successful design products. There are also holdings in listed companies which are investments.
Answer
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Pete Miller (The Miller Partnership) answers a query on whether entrepreneurs’ relief will be available when an industrial design company is sold in the future.
Question
Our client is a successful industrial design company. It is likely to be sold in the next few years and our client is keen to ensure that entrepreneurs’ relief will be available when he sells. His main concerns are that the company holds some shares and has large surplus cash balances simply because the shareholders do not need to draw any more cash. Some of the shares held are strategic investments; for example they hold 3% of the share capital of a company that manufactures and sells one of my client’s more successful design products. There are also holdings in listed companies which are investments.
Answer
...
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