Private Equity is a collective name for investors who put risk capital at the disposal of unlisted companies. Tax regulation is directed both towards the Private Equity funds and at their purchase and sales transactions. Meijburg & Co.’s professionals are here to advise you in this regard.
Private Equity’s aim
Why would investors put risk capital at the disposal of businesses? Private Equity’s aim is for these businesses to grow. This can happen through rationalisation or acquisitions, for example, or by fast-tracking the implementation of growth programmes. Another aim may be to enable a company to specialise in a certain direction.
What does the investor get in return? In exchange, as a rule, the investor receives an equity interest in the company. In addition, various forms of loan capital can be provided. As such, both parties profit.
Tax advice on purchase transactions
Our specialists provide advice both on purchase and sales transactions in the area of Private Equity and on the structuring and establishment of private equity funds themselves. What can you expect in terms of tax advice on purchase transactions? We assist you with tax due diligence and acquisition structuring. In addition, we review your transaction documentation. Furthermore, we analyse the deductibility of the interest on the acquisition financing. In this way, you do not pay any unnecessary costs.
Tax advice on sales transactions
We are also here to provide you with tax advice on sales transactions. What can you expect from us in that case? Our service comprises a full vendor assistance package. This consists not only of a vendor due diligence, but also entails that we carry out restructuring prior to the sale. Tax guidance on a ‘carve out’ is also part of this. And here, too, we also review your transaction documentation for you.
Tax advice on the establishment of funds
Last but not least, we gladly assist you in the structuring and setting up of the funds themselves. In doing so, our Private Equity experts advise you on how you can create your fund in the most tax efficient way possible. This saves you a lot of unnecessary tax.
Need advice in the area of Private Equity?
Private Equity involves end-to-end solutions. Responses to issues in the fields of tax, accountancy and financing structures each make up part of this. That is why we work closely together with KPMG Audit, Transaction Services and Deal Advisory. Because many transactions are international in character, we also often work as a team with our KPMG colleagues abroad. In this way, you are assured of the best advice.
Do you require assistance in the field of Private Equity? Would you like advice, for example, on a purchase or sales transaction? Our specialist knowledge and vast experience of companies (including venture capital companies) and informal investors means you are assured of the very best service. Feel free to contact us.