Business Asset Sale
Huge pressure? Too much debt? Cashflow a problem? Cannot see how to continue with your company? Interested buyers out there?
If so we can help! Cheswick Capital experts have 24 years expertise and experience in driving insolvency and turnaround solutions;
- Initial guidance is always free. Call 020 7416 6677 now.
- Business Asset Sale (BAS) tool: you can sell the business and assets, move the business to a new owner or trade buyer. Cheswick Capital experts guide you every step of the way . Call 020 7416 6677 now.
- Get turnaround management help, expert non executive directors, grey hairs who have made the mistakes you are making and learned from them!
- Or sell the company or the business to us - you can walk away click here for a guide. Certain company types only.
- Refinance the business with our unique range of financial products for struggling companies; click here for a guide.
- Pre-pack Administration call for advice - 020 7416 6677. The power of pre-pack may be necessary.
- Turnaround capital may be available for the old or new company
" We had threats of action and lots of problems, a new investor was keen to deliver on a solid order book. Cheswick helped us get a proper professional asset valuation and then facilitated the BAS sale contract. Thus we acquired the business for a good value from the old company, which went into liquidation a few weeks later. The liquidator agreed that fair value had been obtained and creditors outcomes were improved". Director of garden buildings manufacturer Somerset.
How does a 'business' differ from the 'company'?
In your mind separate the business from the legal entity called the company. The company is the vehicle that the business "travels in".
We can help your company legally and correctly sell the BUSINESS for fair value (this is called the consideration) whilst leaving the old company behind. The debts belong to the old company and its also "owns" the consideration or purchase price cash, this is usually paid over a short period of time. Of course, the proper step as directors of "oldco" is to then start the liquidation process for the old company to allow any value to be returned to creditors.
BAS or Business Asset Sale
If you or a third party (like an unrelated trade buyer for example) or related parties wish to buy the "business" without debts, then this is a quick method. Done properly and legally there is often no recourse or need to appoint administrators. Secured lenders like factoring companies own the debtor book, they simply collect out the debtor book, any other assets are valued and sold properly, any asset surplus is available to the bank and ordinary creditors in liquidation.
Cheswick may even buy your business, or one of our cash-rich trade buyers could be interested. Or you / your colleagues can buy the business with our help.
How does a BAS work?
Our unique BAS programme sets out the sanity checks, board resolutions, cashflows, valuation process, legal documents, contracts for sale, supporting legal schedules / deeds, step by step guides. Cheswick experts and or solicitors will help you through the process.
UK insolvency legislation is packed with “tripwires” to trip up the dishonest, or the honest but unwitting amateur, but expert knowledge can guide you past these hazards and deliver a fast efficient sale. Call now for advice on this and the other options available to restructure a struggling company.
- Selling the assets for below fair value is not legally correct and can lead to attack by the old company (oldco’s) creditors and future liquidators. Under section 238 Insolvency Act 1986 this can lead to a reversal of the sale transaction and action may be taken against the (old company) directors.
- Paying off some “special” creditors before the sale is also reversible under section 239 Insolvency Act 1986.
- Paying your own debts back is reversible and a breach of section 239 Insolvency Act 1986.
- Incorrect reuse of the trade name could lead to criminal action against you under s216 Insolvency Act 1986.
- VAT and tax security deposits may be demanded by HMRC meaning that newco may need to deposit huge sums, if liquidation option is used for oldco and YOU are involved in the old and the new company; use a BAS instead.
- Personal guarantees may be called in by banks on oldco debts you have secured.
- Pre-pack administration may occasionally be required, for certain companies.
- It is usually best to liquidate the oldco after the BAS, to kill off leases and future obligations.
- You cannot sell the assets if a creditor has issued a winding up petition click here for a guide
Got threats from HMRC or trade creditors to wind the company up? ACT NOW sell the assets quickly. Call 020 7416 6677 now
- Sell the assets and the “business” but leave the debts in oldco. Save jobs.
- We use national firms of high quality chartered surveyors to properly value all assets and we have negotiated a volume rate, so the fees are very good value.
- The modest asset consideration (or price for the assets sold) can be retained by oldco and then used to liquidate the old company. This often delivers a higher return to creditors than a the liquidation process alone, as assets are sold for "in situ" values not fore sale values.
- Factors can collect out their oldco book, you may have to assist. Watch out for personal guarantees if you have signed any.
- You must maximise creditors interests, if the old company is insolvent, BAS may help to achieve this.
- In as little as 7 days, the business is secure.
- Oldco may simply be dissolved, no insolvency or conduct investigation, but
- It is likely that liquidation will be required, if for example, any leases and contracts remain in oldco.
- You will lose the tax losses made by the old company (oldco).
- If oldco is liquidated, there will be an investigation into your conduct as directors. This is a statutory obligation for the liquidators.
- There may be a modest fee payable to Cheswick; however this is often much less than liquidation or administration fees. Oldco can pay for this work.
- BAS does not apply in some circumstances. Contact us now to see if your company is suitable.
- You or the buyer needs money to trade in newco, our colleagues at COMPANY FUNDING OPTIONS can arrange new factoring, loans, asset based lending, credit card merchant loans.
- You will need to provide cash or new equity for the new company.
Some companies are not suitable, as their trade contracts may fail if a transfer is not accepted; call now to see if we can solve that for you.
Confidential and High Quality Advice FREE
Call for free advice and an ACTION PLAN or contact us. Call 020 7416 6677 or 07791 864339 and speak to our team, we will contact you confidentially on the number, or email address, provided by you. This is simply the most powerful restart service on the market, Cheswick Capital CAN END YOUR SLEEPLESS NIGHTS, use our powerful BAS product, get control back starting today.
Don't worry, THERE IS NO CHARGE FOR INITIAL ADVICE OR INITIAL MEETINGS once registered.
Want to sell the business assets and start again? Call now 020 7416 6677; National team of 7 business turnaround experts ready to help you.
Cheswick will never pass on your details to any of our investors, trade buyers or finance providers unless you have given written instructions to do so. The people behind Cheswick have been in turnaround, venture capital and insolvency businesses for more than 20 years, we have a great reputation for delivery and know that speed, quality of delivery and sympathetic support are vital for our clients.