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The Charge On Assets


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Does anyone know if the charge that was fixed on our assets last year for the loan from the BVI company has been removed?

 

Or even amended or updated?

 

Would be interesting to see if we paid it off once the Sky money was paid to us in June.

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A quick check on CH shows 1 charge still outstanding

 

Ok thanks - Has it been updated or amended in anyway?

 

I see that we lodged a "Solvency Statement" In July of this year Does anyone know what this means as in good or bad? ....A quick google ..... Is ;

 

This Solvency Statement- Share Capital Reduction has been created in light of the new Companies Act 2006 provisions which came into force on 1st October 2008.

 

Private companies, as an alternative to passing a special resolution and obtaining court approval, have the option of reducing the amount of their share capital by special resolution supported by a Solvency Statement- Share Capital Reduction made by the directors.

 

In order to reduce the amount of share capital through the solvency statement route, private companies must submit to Companies House the following:

- the special resolution;

- the solvency statement;

- a statement of capital showing the alteration in the company's share capital in Form SH19 (Section 644 & 649);

- a further statement of the directors under Section 644(5) of the Companies Act 2006 confirming that the special resolution authorising the reduction of share capital was passed within 15 days of the date on which the solvency statement was made;

Edited by Gemmel
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Dear Gemmel.

 

May I humbly suggest you ask the Corporate Financial experts rather than a Football Mainbored?

 

ie go ask this stuff on PTS, that has the world's greatest Legal/Corporate lawyers available 24/7 and free of charge

 

Good point

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I have just run a credit check on both the Club and the Holding Company and both their credit ratings have been suspended.

 

That could be in line with the "Solvency Statement"...... Another google search...

 

A rating suspension does not imply that the entity is not servicing its debt obligations or that its financial position has deteriorated, but rather that it has failed to provide important information regarding, for example, its finances, liquidity or operations.

 

At the same time as suspending the ratings, CI shall review those ratings to ensure that they continue to provide a current opinion about the creditworthiness of the entity or obligation on a forward looking basis.

 

Ratings may also be suspended in cases where they have been assigned to an entity that is in the process of being created through the merger of other entities (usually rated entities and where there is sufficient information about the ownership, capital structure and organisation of the new entity to support a rating) but where the merger process is taking longer than expected. As a guideline the gap between the assignment of the rating and the creation of the new entity should be no more than 3 months. If the entity has not been created within this period the ratings should be suspended

 

 

http://www.ciratings.com/page/credit-rating-policy-procedures/suspending-withdrawing-and-discontinuing-ratings

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Ok thanks - Has it been updated or amended in anyway?

 

I see that we lodged a "Solvency Statement" In July of this year Does anyone know what this means as in good or bad? ....A quick google ..... Is ;

 

This Solvency Statement- Share Capital Reduction has been created in light of the new Companies Act 2006 provisions which came into force on 1st October 2008.

 

Private companies, as an alternative to passing a special resolution and obtaining court approval, have the option of reducing the amount of their share capital by special resolution supported by a Solvency Statement- Share Capital Reduction made by the directors.

 

In order to reduce the amount of share capital through the solvency statement route, private companies must submit to Companies House the following:

- the special resolution;

- the solvency statement;

- a statement of capital showing the alteration in the company's share capital in Form SH19 (Section 644 & 649);

- a further statement of the directors under Section 644(5) of the Companies Act 2006 confirming that the special resolution authorising the reduction of share capital was passed within 15 days of the date on which the solvency statement was made;

 

Solvency statement is good, it means that for the next 12 months we can pay our debts as they fall due in the opinion of our director. (Commercial solvency.) It is a requirement of a reduction in capital by special resolution and will have the effect of inflating the price of existing shares by decreasing the number of issued shares.

Edited by farawaysaint
Just adding more info
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Solvency statement is good, it means that for the next 12 months we can pay our debts as they fall due in the opinion of our director. (Commercial solvency.) It is a requirement of a reduction in capital by special resolution and will have the effect of inflating the price of existing shares by decreasing the number of issued shares.

 

so our capital is now less ?

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so does that mean that "the family" took back some of their invested £sss ?

 

Potentially... Share capital is a non distributable reserve, (i.e the family could not pay it out as a dividend to themselves.) When you reduce the capital in this manner it is "realised" and could be paid out to the family. (Disclaimer: This is not the only reason the family would reduce the capital it is just a possible scenario.)

Edited by farawaysaint
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Anyone clear up on who was the former chairmen due to receive a pay back of something like 5 million if we reached the Premier League within 5 years. Never heard if that was ever settled or who it was due to?

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Anyone clear up on who was the former chairmen due to receive a pay back of something like 5 million if we reached the Premier League within 5 years. Never heard if that was ever settled or who it was due to?

 

It was 4 million and it wasn't a chairman, it was Aviva.

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A solvency statement is essentially the Directors making a sworn declaration that teh company is able to pay all of its debts.

 

They are usually made; either before a solvent winding up of a company, or as it appears in your case, before buying back some of its own shares.

 

Why would your company be buying back some of its own shares?

 

It can (in some circumstances) be a tax efficient way of shareholders taking money out of the the company utilising their capital gains allowance rather than income tax personal allowances

 

Or more likely, one of the shareholders wants to get out/retire and rather than the other shareholder(s) pay him for his shares from their pockets, the company uses its own resources to buy his shares back and cancel them.

 

A company isn't allowed to do this if it isn't solvent, hence the need for the declaration.

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Or more likely, one of the shareholders wants to get out/retire and rather than the other shareholder(s) pay him for his shares from their pockets, the company uses its own resources to buy his shares back and cancel them.

 

Hmm, if so, I wonder if this is the estate finally dividing the assets between inheritors?

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