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Assistance in share capital reduction in Hungary

If your business in Hungary is looking for expert guidance and help with share capital reduction, your search ends here. Our knowledgeable team is ready to offer complete support throughout the entire process. With our extensive expertise and hands-on experience, we are fully prepared to navigate the intricacies of share capital reduction, making sure your business experiences a seamless and compliant transition.

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Share capital reduction services

We recognize that overseeing your company’s share capital is essential for its development and financial health. Whether it’s distributing dividends or repurchasing shares, we utilize strategic methods to achieve the best outcomes. Collaborating with us provides you with a range of services aimed at helping you make well-informed choices, enhance efficiency, and increase shareholder trust in Hungary.

Dividends

Our services for dividend payments are intended to effectively allocate profits to your esteemed shareholders. We perform comprehensive evaluations of your finances, market dynamics, and shareholder preferences to identify the optimal dividend arrangement.

Share redemption

Our share redemption services help you decrease share capital by repurchasing shares from current shareholders. We create customized strategies that match your financial objectives, providing a smooth and effective experience.

Cash back to shareholders

Our cash-back services offer a way to return excess funds to shareholders, allowing them to directly reap the rewards of the company’s success. We assist you in navigating the intricacies of cash distribution, ensuring that regulations are met and tax impacts are optimized.

Group reorganization

Our skilled team works alongside you to develop and execute reorganization strategies that align with your growth goals. Through the effective restructuring of your organization, we assist you in improving efficiency, sharpening focus, and opening new opportunities for growth.

Asset transfer to shareholders

Our experts collaborate with you to pinpoint assets suitable for distribution to shareholders, guaranteeing a process that is equitable and transparent. With careful planning and implementation, we allow your shareholders to gain direct advantages from the company’s assets.

Options for reducing capital

Reducing share capital can be a strategic approach for companies aiming to enhance their financial structure in Hungary. Various methods exist, each offering distinct advantages and factors to consider. Our team of specialists offers personalized support to help you select the most suitable option for your business, ensuring a seamless and compliant experience. Here are some of the main methods for reducing share capital:

Distribution of dividends

One simple way to lower share capital is by distributing dividends. This approach means giving surplus profits to shareholders, which results in a reduced percentage of the company’s shares. Our team can assist you in understanding the legal and financial consequences of this process to make sure it fits with your strategic goals.

Share redemption

Share redemption entails the company repurchasing its outstanding shares from shareholders. This process decreases the total number of shares issued and can serve as an effective means of returning capital to shareholders while improving overall shareholder value. We provide support in designing and implementing share redemption strategies, ensuring adherence to applicable regulations and maximizing financial results for your business.

Refunds to shareholders

Refunding shareholders entails the direct allocation of cash to shareholders relative to their ownership stakes, which in turn decreases the company’s net assets. This approach offers shareholders instant liquidity and modifies the capital structure of the company. Our team of experts assists in overseeing the entire procedure, from determining suitable refund amounts to ensuring that all transactions are executed efficiently and in accordance with legal regulations.

Group reorganization

A group reorganization, like a demerger, divides the group into new companies created from current divisions. This enables separate capital structures within the group, which may enhance the financial performance and strategic focus of each entity. We provide thorough assistance in the planning and implementation of reorganizations, guaranteeing that the process is effective, adheres to legal requirements, and is in line with your business objectives.

Transfer of assets

Moving assets to shareholders in return for a decrease in their ownership percentage can be a useful approach to minimize tax implications and modify the company’s capital structure. Our team offers specialized advice on how to organize asset transfers, handle valuations, and carry out transactions to reach the intended capital reduction.

Specialized solutions for different legal entities

Our tailored solutions address the specific needs of different legal entities in Hungary. Regardless of whether you are decreasing share capital for:

We tailor our approaches to align with the unique legal and financial complexities of your business structure. This guarantees a streamlined and compliant procedure for reducing the company’s share capital, customized to your organization’s requirements. Rely on our expertise to navigate the specific challenges associated with your type of business, ensuring a smooth and efficient winding-up process.

Schedule a consultation

If you’re aiming to elevate your business in Hungary, arrange a meeting with our knowledgeable advisory team to explore how we can help you increase your share capital and access substantial growth opportunities. Capitalize on this chance to improve your share capital strategy.

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