Keeping it simple
- December 2010
- 82 KB
- Corporate simplification
- Area: Liquidations - Group Reorganisation and Solvent Liquidation
Whether the result of acquisitions, mergers or earlier restructuring, complex group structures can bring unnecessary cost to companies. On average, FTSE 100 members incur between £150,000 and £300,000 per annum in non-value-added costs for dormant and nontrading companies alone.
In its most basic form, corporate simplification is the removal of a single company from a group structure, but it could be part of a wider restructuring to reduce costs and improve profitability by eliminating tiers from a corporate structure.
Corporate simplification (PDF, 82 KB)