Today there are many ways of running a business and not all business models are equally good. In all cases, regardless of whether you are a green entrepreneur or an experienced business owner, it is a good idea to critically reflect on the design of your business if you want the optimal opportunities for growth. 

That is what we at RSM Denmark can help you with. We have many years of experience advising companies both financially and legally, also when it comes to company structure. 

 

We help you structure your business

How you design your business can have a large impact on the future. However, few companies are static, in fact both the company’s finances, construction, activity and size can change over time. It is therefore important to regularly monitor whether the structure of the business is working optimally.  

At RSM Denmark we make sure that you remember to take account of all significant and unknown factors when deciding on your company structure. It can be the market situation, potential earnings both now and in the future, tax planning, ownership relations and the like. 

 

You should consider the following: 

  • The company’s finances – how are they structured? Are there areas that can be optimized?
  • Willingness to take risks – how big are the risks you as a business owner are willing to take? 
  • Transparency – how much information about your business should be available publicly?  
  • Accounts – what are the requirements for your financial statements and how can you meet them most effectively? 
  • Consequences – how will your choices influence tax payments and finances for example?

Restructuring a business 

If you intend on restructuring your business there are many different aspects that need to be considered, both hard and soft values. There can be many reasons for changing your business from privately owned to a limited liability company (ApS or A/S). 

 

Advice on restructuring 

The need to restructure is very individual for each company – however the following examples are often worked with:

 

Tax-free business conversion

Your privately owned business is to be converted into a limited liability company. This solution is for sole proprietorship or partnership. 

 

Exchange of shares

Exchange of shares can for example be used if you want to create a holding company for your limited liability company. This typically applies to ApS and A/S which is often carried out in connection with tax-free business conversion. 

 

Merger

A merger is when two companies join forces. This usually happens at Kapitalselskaber - ApS and A / S.

 

Split

A split is when two companies have to be split up. This usually happens at Kapitalselskaber - ApS and A / S.

 

Re-registration of entrepreneurial company 

Used when your entrepreneurial company needs to be re-registered with ApS. Remember that the company must be registered by April 2021 at the latest.

 

Re-structuring by transference of business

Transfer of business or  change of ownership  can also cause a re-structuring of the company structure. In many cases, it is a generation change, where it is a good idea to plan the transfer well in advance.