Share buy back

[NowPermOutsideUK]

so a bloke with a million pound is gong to buy a company worth a million ponds, for a million pounds, and make no money out of it.
Sure it'll work. But why? What's the point?

The same reason that a bloke buys a pile of bricks for X amount - Or that the buyer believes there is inherent value in the business or IP associated with previous contracts

Believe it or not you can spend your cash on whatever you want and its only a problem if the person spent it has been duped - If someone wants to buy a classic car for ten times its original price what are we know - Or a painting for £XX

[WTFH]

so a bloke with a million pound is gong to buy a company worth a million ponds, for a million pounds, and make no money out of it.
Sure it'll work. But why? What's the point?

Imagine the bloke is an elderly relative.
They buy the shares in the company, then set up multiple directors/shareholders with one or two love value shares - maybe even including swindlers in Switzerland. Then when uncle Ernie pops his clogs, the family inherit the company and pay less tax on that.

It's not about ethics, or societal values, it's all about the hard cash. There's nothing else in a hollow life.

[Lance]

Imagine the bloke is an elderly relative.
They buy the shares in the company, then set up multiple directors/shareholders with one or two love value shares - maybe even including swindlers in Switzerland. Then when uncle Ernie pops his clogs, the family inherit the company and pay less tax on that.

It's not about ethics, or societal values, it's all about the hard cash. There's nothing else in a hollow life.

Ok. I hadn't though of anything so complex.

I do wonder why the Swiss resident wouldn't just MVL the company though. He gets the cash directly that way.

[Lance]

The same reason that a bloke buys a pile of bricks for X amount - Or that the buyer believes there is inherent value in the business or IP associated with previous contracts

Believe it or not you can spend your cash on whatever you want and its only a problem if the person spent it has been duped - If someone wants to buy a classic car for ten times its original price what are we know - Or a painting for £XX

jamesbrown has got your number

[WTFH]

Ok. I hadn't though of anything so complex.

I do wonder why the Swiss resident wouldn't just MVL the company though. He gets the cash directly that way.

I suspect he doesn't MVL it because it is probably providing a nice tax-reduced income to a few friends and family, and company cars all round.

Or, more likely, it doesn't exist and he's fantasising about what he would do if he had ever successfully contracted in his life

[northernladuk]

That is why I went to the trouble of highlighting the steps that would need to be done

Five steps to offload a million quid. Load of trouble that was.

[ladymuck]

What is MM? In Roman numerals that's 2000.

[jamesbrown]

What is MM? In Roman numerals that's 2000.

Much Mince.

[Lance]

What is MM? In Roman numerals that's 2000.

Moistened Minge

[WTFH]

What is MM? In Roman numerals that's 2000.

Mutual Masterba Moderation