i.           Virtual CFO Services-

Small businesses would benefit tremendously from the expertise that a CFO brings to the table. But it cannot always afford to have a full-time CFO on its payroll.

RAAC has a solution to this. We have devised an elegant virtual CFO service for you. Our tailor-made solutions are designed to fit the needs of your business. Our team of knowledgeable Chartered Accountants and Company secretaries will assist you at every step. We shall dedicate a team of professionals, headed by an experienced Chartered Accountant to act as your virtual CFO

ii.           Slump Sale-

Slump sales are among the popular methods of transferring business units. Under this method, a single price is assigned to the business unit being transferred. The business unit would in turn comprise a group of assets and liabilities. The advantage of slump sales is that consideration need not be individually assigned to each asset or liability. A special mode of calculating capital gains tax in the case of a slump sale is prescribed under the income tax law.

A slump sale that is improperly executed would expose the parties to tax consequences, both under the income tax laws and the GST laws. Every step along the way must be judiciously followed.

iii.           Business Transfer Advisory-

On several occasions, one business entity might have to transfer its assets or liabilities to another business entity. The transfer could be on account of business reorganization, transfers from a holding entity to a newly established subsidiary, regular business acquisitions, or cross-border restructuring. Such transactions would warrant the execution of a Business Transfer Agreement that would contain details of the assets and/or liabilities being transferred, the terms of such transfer, the consideration involved, and any restrictions placed on the buyer.

The business transfer agreement must be properly executed. Improper execution of the agreement would result in disputes between the parties & exposure to tax consequences.

We can help you with the following:

•   Strategizing the transaction, i.e., analyzing if the business transfer is indeed the best method under the present conditions or if other options are more favourable,

•   Assistance in preparing the Business Transfer Agreement

•   Tax planning, including computation of capital gains tax or business profits, as the case may be,

•   Analyzing the impact of the GST laws and providing assistance in the transfer of input credit

•   Obtaining clearance, where necessary, under Sec. 281 of the Income Tax Act.

•   Recording the transactions accurately as per the Accounting Standards adopted by the seller and buyer.

•   Adequately stamping the agreement under the respective State Stamp Acts,

Reporting, where necessary, to statutory authorities like the Ministry of Corporate Affairs.