In the course of private practice, you often come across opportunities to help your clients do more. And providing useful information at the right time can go a long way in building the relationship says Paul Sutton of law firm LCN Legal.
Clients may want to invest in UK property with friends and, in effect, form a private investment syndicate. Depending on the investment strategy (and in particular, whether the venture will constitute trading or investment for tax purposes), a simple structure such as a UK limited company or a UK limited liability partnership (LLP) may well be suitable. You will be able to provide support on the initial choice of structure, and with the ongoing tax and accounting compliance.
This article outlines some of the key considerations from a legal perspective, so that your clients can take things forward. In particular, it sets out some of the regulatory issues that your client should be aware of, and a preliminary checklist of commercial terms.
One key objective is to avoid...