Transfer of a Business
A business has two shareholders A and B who own all the shares split 50/50 (50,000 £1 shares).
There are 3 directors in total in the business including A and B above but the other director C, who runs the business, owns B class shares that have no voting rights. A & B want to exit the business and have offered to sell their shares to C for the value of their shares (ie They want £25k each). A & B do not really get involved in the running of the business and leave it all to C so without C there effectively wouldn't be a business.
C can't really raise the £50k to "buy" the business. Can anyone advise what is the best way to deal with this and thus avoid C having to raise capital.
The business is reasonably healthy with £60k reatined earnings and £80k cash (creditors balance £40k, debtors £70k)
Any help or advice would be appreciated.