CANCELLED: Business Formation and Exit: Strategies and Concerns
Issues covered include: start up challenges, common challenges for start up business, structuring business for multiple owners, best advice for small business, profit sharing disputes, how to avoid profit sharing disputes, key risks in profit sharing, restructuring businesses before selling, tax consequences on exit strategies, tax consequences of sale of business versus sale of shares, value of business, how to describe value of business, key areas to consider when valuing business
Description
This one day seminar covers the hot issues you and your clients come across during business start-up and exit stages. Covering structuring, tax, legal and commercial issues in business formation. Additionally discuss cashing-outs, profit sharing strategies to mitigate and manage shareholder disputes and maximising the business value for exit.
Attend and earn 6 CPD units
FASEA CPD Categories
6 CPD units in Technical Competence
This event offers 6 CPD hours and meets the qualifying CPD requirements of CPA, IPA, CAANZ and FASEA.
Please note to count towards the minimum 28 hours of licensee approved CPD hours, your licensee is required to approve this event.
Session 1
Business Formation: Challenges and Practical Advice
Chair: Bernadeene Cangelosi, Partner, KPMG Private Clients and Family Office
9.00am to 10.00am: Major Challenges and Options for Australia’s Small Businesses
- The current landscape of Australia’s small businesses
- Startup challenges, including:
- Navigating current regulation
- The right structure and business plan
- Insufficient working capital and access to finance
- ASBFEO’s insolvency review: findings and recommendations
- Assistance options available for your small business clients including industry associations and business groups
- Importance of acting as a trusted advisor and mentor
Presented by Louise Stuart-Watt, Chartered Accountant, Analyst, Australian Small Business and Family Enterprise Ombudsman
10.00am to 10.15am: Morning Tea
10.15am to 11.15am: Structuring a Business for Multiple Owners: The Trusted Advisor’s Role in Getting Things Right at the Outset
- How to have a proper conversation with your clients to find out their actual needs and set expectations at your first meeting?
- Practical tips and traps when assisting your clients to choose the right business structure with multiple owners
- Is trust still the most favorable business structure for most small business owners?
- How to establish an effective asset protection plan for your clients?
- Moving the goal posts: dealing with changing circumstances and expectations, such as relationship breakdown
- Common exit mechanisms and why they should be taken into considerations in advance
Presented by Rohan Harris, Principal, Russell Kennedy Lawyers
11.15am to 12.15pm: Avoiding Control and Profit Sharing Disputes in Family Business at the Business Formation Stage
- Understanding the major disputes throughout the life cycle of a family business, including business control and profit sharing
- Highlighting the key risks and disputes that arise from business succession
- Using shareholder arrangements at formation to minimise disputes in future
- Other useful mechanisms your family business clients can use to mitigate potential risks
- What should accountants watch out for as a ‘gate keeper’?
- Practical action guide for accountants to protect clients’ business at the beginning
Presented by Luke Mitchell, Principal Lawyer, Coleman Greig Lawyers
12.15pm to 1.00pm: Networking Lunch
Session 2
Practical Exit Strategies
1.00pm to 2.00pm: Restructuring Strategies Before Selling the Business and Practical Application of Small Business CGT Concessions
- Why and when do your clients need a restructure pre-sale?
- Practical tips and traps on restructuring using the small business concessions
- Your guideline to restructuring using CGT rollovers
- What will the ATO think?
Presented by Stuart Le Cornu, Partner – Tax Advisory, Fordham Group; Chartered Tax Adviser
2.00pm to 3.00pm: Key Tax Consequences of Different Exit Strategies
- Important factors to consider the timing of exit
- Comparing the tax consequences of sale of business versus sale of shares
- Determining an entity’s tax position including calculating the gain on sale
- Distributing the profit including the declaration of a dividend, liquidation of the company, a share buy-back or capital return
Presented by Burton Andrews, Associate Director, Tax, BDO; Chartered Tax Adviser
3.00pm to 3.15pm: Afternoon Tea
3.15pm to 4.15pm: Your Client’s Business Sale
It is important for a business to be able to clearly articulate its value, particularly in the current market. This session will give you insight into:
- Key focus areas when articulating and optimising the financial and operational position of a business
- The importance of forecasting and working capital
- A case study which provides an overview of a possible framework for reviewing your Client's Business
Presented by Demetria Jones CA, GAICD, SME Business Advisor
Learning Outcomes
- Gain insights from ASBFEO about the emerging challenges and issues Australia’s small businesses experience at the early stage
- Learn useful tips on structuring a business with multiple owners
- Benefit from essential guidance to assist your family business clients with preventing from potential disputes
- Understand the complex area of pre-sales small business restructuring strategies and the practical application of CGT concessions
- Explore the critical tax considerations of various exit strategies
- Ensure your client’s business value is maximised when getting ready for sale