I have a limited company say ABC with about 120k cash sitting in the bank account. Currently my limited company is paying for 2k monthly rent in an serviced office building. I have seen a freelease retail shop premise I would like to purchase so that I can run my limited company from there instead (thus pay rent to myself instead of someone else). It is on the market for 300k - the bank will in principal lend me upto 70% Can you kindly advise on what my options (e.g. same limited company/ diff limited company etc ) are on raising the deposit to purchase the premise detailing what my cost implications (and other considerations I need to be aware off) are for each option?
Is it possible to purchase it as same company now and then perhaps later date transfer the property ownership into a different company name? The reason I am slightly hesitant in using the same company is because my current limited company is trading under a franchise license , so this property has nothing to do with the franchise (other than it is an office space for it) - so without looking at the small print I won't know the full impact when It comes to selling. It is likely I would want to keep the building for years and years to come but sell the business - so would having the same company poses problems when it comes to selling the business?
When you say I would not forsee any problems in selling the franchise business whilst retaining the freehold building.
do you mean this can be done under the same Ltd company? So how would this work ?
Thanks Finally - With regards ***** ***** previous question: having the property in same limited company and then later transfer ownership to a separate limted company. What I meant was both limitted company own by myself . So apart from the stamp duty / legal costings - would it be able just some paper work exercise or does real money have to exchange hands given its "me" who owns both companies ? Can it be transferred at "zero" value or would there be complications?
What I was trying to get at was how would it work under such circumstances? Do we really have to find another 300k to pay from my right hand to my left hand? Or can it be just a paper work exercise but paying the normal legal fees / stamp duty etc ?
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