-
Corporate Finance and Deal Advisory
We offer a dedicated team of experienced individuals with a focus on successfully executing transactions for corporates and financial institutions. We offer an integrated approach, with our corporate finance specialists working seamlessly with tax and other specialists to ensure that every angle is covered.
-
Digital Risk
Grant Thornton offers solutions to the digital risk issues you are sure to face. Our skilled and experienced security team can helping by advising and consulting, giving you peace of mind, clear value for money and an enhanced ability to react to attacks.
-
Technology Consulting
Motivating and assisting our clients to pursue, maintain and secure the benefits of digital solutions is at the core of our Digital Transformation teams' agenda and goals. We work with business leaders to deliver efficient digital strategies and operating models that provide new or enhanced capabilities.
-
Economic Advisory
Our all-island Economics Advisory team combines expertise in economics and business with a wealth of experience across the public and private sectors.
-
Forensic Accounting
We have a different way of doing business by delivering real insight through a combination of technical rigour, commercial experience and intuitive judgment. We take pride in delivering responsive and tailored solutions to all our clients, capitalising on the wealth of experience housed within our Belfast and wider Forensics team
-
People and Change Consulting
The Grant Thornton People & Change Consulting practice works with clients on these issues as well as on all aspects of how they attract, retain, engage develop, deploy and lead their people.
-
Restructuring
We work with a wide variety of clients and stakeholders such as high street banks, private equity funds, directors, government agencies and creditors to implement solutions which provide the best possible outcomes.
-
Corporate and International Tax
Northern Ireland businesses face further challenges as they operate in the only part of the UK that has a land border with a country offering a lower tax rate.
-
Employer Solutions
Our team specialises in remuneration and incentive planning and works closely with employers, shareholders and employees to ensure that business strategies are aligned and goals achieved in the most tax efficient, cost-effective manner.
-
Entrepreneur and Private Client Taxes
Our team of experienced advisors are on hand to guide you through any decision or transaction ranging from the establishment of new business ventures, to realising value on exit, to succession planning and providing for loved ones.
-
Global Mobility Services
Grant Thornton Ireland offer a different approach to managing global mobility. We have brought together specialists from our tax, global payroll, people and change and financial accounting teams across Ireland and Northern Ireland, while drawing on the knowledge and insights of our global network of over 143 offices of mobility professionals to provide you with a holistic approach to managing global mobility.
-
Outsourced Payroll
Our outsourced service provides valued service to over 150 separate PAYE schemes. These ranging from 1 to 1000 employees, working for micro, SME and global employers. The service is supported by the integrated network of tax and global mobility teams and the wider Grant Thornton network delivering a seamless service. Experienced staff deliver a personal service built around your business needs.
-
Tax Disputes and Investigations
Our Tax Disputes and Investigation team is made up of tax experts and former HMRC investigators who have years of experience in dealing with a variety of tax investigations. Our expertise and insight can guide you through all interactions, keeping your cost at a minimum while allowing you to continue with the day to day running of your business.
-
VAT and Indirect Taxes
At Grant Thornton (NI) LLP, our team helps Northern Ireland businesses manage their UK and global indirect tax risks which, as transactional taxes, can quickly become big liabilities.
What is a Management buyout?
13 Jun 2017A management buyout (MBO) is the general term used for a business acquisition where a company’s existing managers acquire a part or all of the company for which they work.
MBOs may occur for a number of reasons, including retirement sales or disposal of non-core business activities, and can be an attractive option for a management team with an ambition to own their own business. From a seller’s point of view, a MBO potentially offers a willing buyer, with detailed knowledge of the business and its culture.
Following a number of years of low activity in the UK MBO market, 2017 has started strongly. Buy-out value in the first quarter of 2017 was £5.9 billion compared with £2 billion in the final quarter of 2016.
The increased availability of MBO finance has been critical in releasing the latent demand among management teams who are willing to take on the risks and the rewards that a transition from employees to business owners brings. With their knowledge of the business, a MBO is often less risky for the team than the alternative of starting a new company that typically will take time and resources to build the necessary infrastructure and reputation to compete in the market.
Whilst MBOs are similar to other acquisitions in legal terms, the nature of the MBO means that the buyer will already have a detailed working knowledge of the business such that the due diligence process may be more limited. This can help expedite what can otherwise be a lengthy process particularly as finding an alternative buyer may be difficult. The seller can also benefit from disposing the business to a trusted source.
Financing a MBO will be a key challenge, and rarely will a management team have adequate resources to complete the acquisition themselves. An element of bank financing will frequently be available, but given the risk profile of a MBO investment and typically a shortfall in collateral, management teams should expect to be asked to invest an amount of their own money. From the bank’s perspective, investment by the MBO team will help reduce the risk of the transaction. It shows commitment by the MBO team, and ensures that management have further incentive to make the buyout successful.
If available bank funding is insufficient, Venture Capital (VC) or Private Equity (PE) investors may invest money in return for a proportion of the shares in the company. These investors will also typically insist that the management team invest their own money to ensure that they have a vested interest in the company’s performance. Typically VC or PE investors will also want some form of control over the business, whether it is a seat on the Board or regular performance updates.
MBO processes can be time consuming, and management teams will still be required to manage the business during negotiations. Those teams considering an MBO should seek expert advice from an experienced financial advisor to guide them through the process and improve the chances of a successful transaction.
