Reduce Risk
One of the main benefits is risk management. If a company undertakes multiple trades, or has separate investments such as property, then stripping these out into separate subsidiary companies under the common control of a holding company should be considered.
Asset Protection
A holding company can be used to hold the valuable assets of a business such as trading or investment property, plant and machinery, intellectual property and excess cash to allow for investments. The subsidiaries then take on the daily operations of the business and its trading responsibilities.
Tax Benefits
There may be admin and central services functions that are utilised by different businesses. These can sit naturally within a holding company, which then makes charges to the subsidiaries so that the costs are shared appropriately amongst them.
About Company
We regularly advise on of the benefits of creating a group structure via the use of a holding company. This is a conversation that we regularly have with clients, and particularly now during the current economic environment.
What is a Holding Company?
A holding company is a separate parent company created to own a controlling interest in a subsidiary company or companies. A holding company doesn’t necessarily trade itself; its main purpose is to form a corporate group.
Tax Benefits
Dividends can pass between the subsidiary companies and the holding company without incurring tax charges. Furthermore, tax exemptions available mean that where a company owns more than shares in another company and sells those shares, there is usually no tax to pay on any gains arising.
Our Services
Accountancy Services
Proactively working with our clients throughout the year, we never miss the chance to make your business better and your finances stronger. We really take the time to get to know you and your business. And we’ll work in partnership with you, building a strong, long-term relationship.
Business Taxes
SYSTEM TRADES HOLDINGS LTD have more expert tax advisers than any firm in our region. And that's why we're always discovering significant tax savings, that others overlook. We see tax not as endurance, but as an opportunity.
Corporate Finance
Whether you're buying, selling or raising finance, our award-winning team are with you all the way. Leading a business through change is a challenge and finding the best route to the future you want requires true expertise.
Private Client
Our market-leading service gives you a complete and uninterrupted view of your finances – business to personal, one generation to the next, present to future. Our team are specialists in trusts, wills, estate planning and personal tax.
Employee Ownership
An Employee Ownership Trust (EOT) enables a company to become owned by its employees. A trust is set up by the existing owners for the benefit of all employees. The trust then becomes the majority owner of the business.
Wealth Management
Delivering flexible wealth management solutions to suit individual ambitions and provide financial security. Innovative investment solutions tailored to individual needs helping clients to achieve their financial goals.
Contact Us
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Website
www.systemtrades.eu