UK business taking over EU business

Hi all,

I have a question and am looking for some guidance please.

I have a UK Ltd Co client which is a newly incorporated business. The business has 3 shareholders 2 non UK residents and 1 UK. The purpose is to take over the operations of an existing business operating in the EU. Incidentally the EU business is a group.

Does anyone know who this would work. Should the EU business cease first transferring the assets to the UK business? What are the issues and considerations?
Accounting entries?

I've not really had this sort of scenario so appreciate your help.

Many thanks


  • stevo5678
    stevo5678 Registered Posts: 325
    Typo: Para. 3 should read 'how this would work'.
  • stevo5678
    stevo5678 Registered Posts: 325
    My thinking is if the EU business ceases and the money is taken out then there will be tax consequences in said country for taking it out.

    Alternatively could the uk co buy the shares in the EU co at nominal value then the transfer of funds/ assets can be done via an inter company account. If this happens and the EU co ceases with an inter company debt are there any issues with this?
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