Richard Curtis looks at tax-efficient exit strategies for business owners.
When starting a business, few people will give much thought to its end. However, after some years, even a small ‘one-man band’ business may have built up a valuable customer list with a goodwill value. It is therefore important that a business owner should consider how and when they might wish to retire from, sell or pass on their business.
This should not be left until just before a disposal as advance planning is key to maximising the potential tax reliefs available.
Business sale
Whether the business is carried on as a sole trader, partnership or limited company, capital gains tax (CGT) on a disposal of assets or shares will be a major consideration. Subject to any developments following the recent change of government, at present, the first £1m of a gain may be
