Case study | Charltons
Accounting & tax
Business Strategy
Self Managed Super
Tax Specialisation

SUPPORTING YOUR POTENTIAL

Partnering with you in the structure and management of your business is one of the core services available at Charltons. We are dedicated to supporting your potential.

Effectively splitting and settling a business.

A recently established real estate management business was operated out of a company with two individual shareholders who were the principals and face of the business. Due to differing objectives, there was a need to split the business with each individual principal taking their respective share. Various legal documents were drafted including a business sale agreement.

Charltons was able to identify potentially significant tax liabilities if the split of the business was to be undertaken in the manner advised by the lawyers. Charltons advised our client to change the manner in which the business was to be split in such a way as to reduce the likelihood of capital gains tax.  Having Charltons undertake a review of legal documents before signing is best practice.

 

Bringing on board a new business partner.

The principal of a well regarded medical practice identified the need to retain high performing employees and also to plan early for an eventual business exit. Our client approached Charltons to consider ways in which such employees could be retained. Charltons undertook a review of business operations and considered various strategies.

Charltons were able to identify three strategies which enabled such employees to become shared business owners and at the same time enable the current business owners to receive sale proceeds.  Charltons’ strategies provided for a commercial result with the retention of high performing staff in a manner that did not result in a tax liability for the existing business owner.

  • Case study

    A recently established real estate management business was operated out of a company with two individual shareholders who were the principals and face of the business. Due to differing objectives, there was a need to split the business with each individual principal taking their respective share. Various legal documents were drafted including a business sale agreement.

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