Entity Closure Solutions
While an entity may be closed due to financial difficulties or disputes, in many instances an entity may simply come to the end of its natural life cycle. Funds in particular often have a fixed duration or the decision may be taken to close due to a failed strategy or failure to raise enough capital. Whatever the reason, the decision to close down an entity or structure brings with it a particular set of challenges and considerations.
R&H Restructuring is experienced in delivering successful wind-downs and offer a flexible range of solutions which can be tailored to specific circumstances. Our team will guide stakeholders through the final stages of an entity’s life; providing a clear, concise approach for an efficient closure process.
We have solutions to deal with a wide range of challenges faced during a wind-down, including illiquid assets, contingent creditors and the departure of a management team; we aim to ensure that matters are dealt with effectively and cost efficiently.
Wind-Down Agent and Director
We can be appointed as wind-down agent in conjunction, if appropriate, with the appointment of a wind-down director to deal with the residual affairs of a structure. Our team is ideally positioned to provide expert advice on the wind-down or restructuring of your structure as well as the realisation of residual assets including those which are illiquid. Our extensive knowledge and experience can assist directors, investment managers and service providers in making effective decisions in order to maximise value to investors as the structure winds down.
The scope of our appointment can be flexible and tailored to your specific circumstances and we can provide a wide range of services in-house such as administration services, independent directors or we can work with existing service providers if appropriate.
We work with our in-house licensed professional directors to deliver efficient, cost-effective ways to deal with wind-down situations.
Many structures have residual assets which are preventing dissolution and therefore incurring unnecessary cost; these assets may, for example, have residual value but no readily available market and require a longer term run off period. We can set up and administer a liquidating trust to hold residual illiquid assets in order to allow the final dissolution of the structure. The interests, rights and claims in residual assets are assigned to the trust for the long-term benefit of investors.
This option can be used independently or in conjunction with our voluntary liquidation and wind-down agent/director services.
Our affiliated trust company holds a trust license issued by CIMA and we work in conjunction with our trust colleagues to deliver this solution.
A voluntary liquidation is a formal procedure that involves the winding up of a solvent entity by a liquidator, in accordance with the governing documents and relevant legislation.
From a nil balance sheet “clean” voluntary liquidation, to appointments with complex illiquid assets and contingent liabilities, we can provide you with the relevant guidance to liquidate and dissolve your company or limited partnership, giving you peace of mind that it will be completed in an efficient and cost-effective manner. We regularly accept appointments to act as voluntary liquidator with varying degrees of complexity.