Record-breaking number of deals for accountants
WALES’ largest independent accountancy firm, Bevan Buckland, advised on record transaction levels over the last 18 months with a value of more than £100m.
The deals include a broad range of business sales and purchases, demergers, partial sales, fundraising and refinancing activities.
The firm, which recently moved into larger headquarters in Swansea at the Swansea Enterprise Park, also has offices in Cowbridge, Carmarthen, Pembroke, Haverfordwest and St David’s
Managing partner Alison Vickers said: “We are pleased to report that we have seen an increase in the number of transactions we have been involved in, boosted by strong activity in Enterprise Investment Scheme funding and a record-breaking number of sales and purchases of online FBA (Fulfilled By Amazon) businesses by our clients. We have also been involved in some sizeable whole business sales and exits.
“Advising clients on business growth, fundraising and exit strategies is a core part of what we do and where good accountants can add value to their clients.
“Of course, this increase in activity isn’t just good news for us, it also illustrates that the economy here in Wales is buoyant and active, despite the challenges of the past 18 months.”
Bevan Buckland expects fundraising and deal activities to continue to grow next year.
Harri Lloyd Davies, partner, said: “We’re particularly proud that we have supported clients to sell or exit
their businesses. Less than 20% of small business owners manage to successfully sell their businesses, and only 5% of those achieve their expected selling price, so if you are planning to sell or exit your business it’s important to have a clear view of your businesses value and a good strategy.”
Matthew Denney, tax partner, said: “The differential between income tax and capital gains tax rates is still significant, despite the reduction to the lifetime allowance in respect of what was called entrepreneurs’ relief.
“It is critical to consider the structure of any deal carefully and to submit the appropriate tax clearances to HMRC.
“With the breadth and complexity of tax legislation increasing, take for example IR35 in the private sector, we are seeing that it is increasingly important to understand your businesses tax profile and compliance processes before your company is subjected to any due diligence.
“Everyone expects to take advantage of the 10% tax rate, however, it is rarely that simple.”