Why do you have to do corporate restructurings?

The corporate restructuring is a natural process that describe the main changes inside a company, either in the long term or urgently.

The corporate restructurings are the essence of the increase in productivity and the regeneration of companies.

To be restructured is essential to catch new opportunities to generate value, so is more common to occur at a time when the company is not meeting established expectations.

The decision to realize a restructuring is usually difficult, generally companies need a serious threat to decide to undertake the restructuring, in spite of they have low results that indicate that it is necessary.

The instruments that they must be considered to realize a restructuring are: legal and tax tools in effect; incorporation of new technologies; the permanency or renewal of the partners and/or shareholders; in addition to the internal aspects of the company.

The corporate restructuring can be divided into:

• External scope, such as the meeting or separation of companies that subsist, are extinguished or are created. As the merger and split or transformation of societies.
• Internal scope, change in the partners or shareholders. As the transmission of the contributions, actions or titles that represent the company’s social rights.

The type of restructuring depends on the elements of the business that are affected and the reasons why this restructuring is taking place, there is usually a period of stability since the situation begins to deteriorate until the restructuring becomes inevitable.

Types of restructuring:

• Expansion.
• Reorientation.
• Corporate control.
• Property structure.

Consequences of a restructuring:

• The vision, goals and strategies of the business or entity are redefined and/or changed.
• The property of the business real state is modified.
• Changes the legal structure, in addition to the form of administration of the organization, new or greater responsibilities can be assumed among those involved.
• The value of the business essentially changes.
• The form of how taxation will be carried out in accounting systems and presentation of financial information.
• Labor relations are modified in the company and with third parties, among other aspects.

To avoid that your corporate restructuring fails, this must be planned with strategic, financial and human capital effects, but above all you must have corporate consulting to achieve a successful restructuring.

In QuAdrans law and finance we can help you with the mergers, transformations, splits, dissolutions, liquidations, capitalizations and alienations of actions, as be needed.

Legal and Accounting Consulting in Playa del Carmen.