Company Restructures: Everything You Need to Know

23rd June 2023


Almost every successful business goes through a restructuring process at some point. Be it because you’ve outgrown your old processes, you’ve acquired or partnered with another company, you’re trying to increase efficiency, or that you have financial hurdles to overcome.

Corporate restructures can be an exciting time for business growth. However, they can also be time-consuming and challenging to manage, so read on to find out everything you need to know financially about the process!


Corporate Restructures Can be Complex

Corporate restructuring can take many forms and be a result of an almost indefinite list of circumstances.

Perhaps your business is working to widen its offering and customer base through a merger or acquisition, or you are reorganising your shares to facilitate additional investment, or maybe your business has a new buy-in or management structure.

Regardless of the reason, there are a lot of changes that come with a restructure, especially if you are changing the core aspects of how your business operates.

Your business will probably need to adjust the way its finances and management operate to accommodate these changes, such as ensuring the restructure takes the appropriate routes to prevent penalty tax charges on this commercial transaction.

While you might be anxious about the situation due to the complexity of a restructure, don’t let it detract from the possibilities these changes could be opening for your business. A restructure could allow you to pursue more ambitious business goals or help make your business more tax-efficient, both of which could be massively beneficial for different reasons.


A Tax Advisor Can Support With Financial Restructuring

To ensure that you can comfortably achieve the goals of your restructure stress-free and seamlessly, it will be worth recruiting the assistance of a qualified tax advisor through a Chartered Accountants.

As experts in this field, they can predict, manage, and understand your current and future financial situation easier, allowing you to better allocate your resources to help complete the changes effectively. Plus, any corporate restructure will involve obtaining tax clearance from HMRC, which will be made much easier with the help of a specialist. A tax advisor will be able to ensure that you are fully compliant with all relevant regulations throughout the restructuring process.

You may also be able to structure your company in a way that is far more tax efficient, which will allow your finances to go further, which is a consideration for all business owners, especially if your restructure has been spurred by financial challenges.

A tax advisor can help your business save jobs, mitigate potential losses, and put you on the path to a stronger recovery and future business growth. This is because you may be eligible for tax relief which you may otherwise be unsure about, and a restructure that isn’t managed carefully may result in more costly tax responsibilities. This is especially crucial if you are part of a corporate group.

Additionally, the assistance of an accountant during this time simply means that you can focus on the continued, day-to-day running of your business while they handle the restructure on your behalf. This allows you to continue satisfying your customers and maximising income regardless of the underlying situation of your business.

Our Chartered Accountants in Birmingham and the West Midlands will help you do that and more!


Edwards Accountants are Corporate Restructuring Specialists

Edwards Accountants understand that you know your business best, and that no two businesses are exactly the same. That’s why we highly value constant communication and adaptability while providing a tailored service to our clients.

Our team are always caught up with current laws and legislation and fully understand a range of business structures and aims to help provide the best possible service to you. We will work hard to understand the complexities of your restructure and will make sure to fully understand you, your business, and your goals.

We will ensure that you receive all the tax relief that you are eligible for while guaranteeing that your assets are managed as effectively as possible.

It is also worth getting in touch with our team of West Midlands auditors, who can complete an accurate and detailed audit of your current situation to help you understand both where you are now, and where you want to be.


Contact Us

Edwards Accountants is one of the leading accounting companies in the Birmingham area, offering several services to assist with your corporate finance and business turnaround.

Our team of Birmingham auditors and accountants help to keep your business moving while increasing efficiency and minimising expenditure. Get in touch with us today to see how we could support your business restructure!